4% AX Investments plc 2013

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AX Investments plc - Prospectus 28th November 2006

The Company

AX Investments plc is the finance and investment arm of the AX Group. It was set up in 2001 and its first transaction was a private-placement of bonds for the development of the Verdala Mansions in Rabat. The €5.4 million bond was issued for a 5-year term but was fully redeemed one year before the final maturity date.

AX Holdings Ltd., the guarantor of the bonds, is the holding and parent company of the AX Group which has diverse business interests in construction, hospitality and property development.

The AX Group’s main construction companies are AX Construction Ltd. (100% owned by AX Holdings Ltd.), The Constructors Ltd. (51% owned by AX Holdings Ltd.), Hardrocks Ltd. (51% owned by AX Holdings Ltd.) and C&D Waste Ltd. (75% owned by AX Holdings Ltd.).

The hospitality division consists of four operating hotels: (i) the Suncrest Hotel, (ii) the Victoria Hotel, (iii) the Sunny Coast Resort and (iv) the newly constructed 5-star hotel in Sliema – The Palace Hotel, which is located besides the Victoria Hotel. Within the hospitality sector, the AX Group also has a 22.9% shareholding in VISET Malta plc, the company entrusted with the Valletta Waterfront project.

Use of Proceeds

The bond issue was made to settle the consideration for an elective bid made by AX Investments plc to shareholders of Suncrest Hotels plc to exchange their ordinary shares in Suncrest Hotels plc into these bonds. AX Investments plc offered Suncrest shareholders €1.16 per share as opposed to the cash offer price of €0.70 per share.

Security & Status

Unsecured & Unsubordinated

Guarantor

AX Holdings Ltd.

Coupon

4.0%

Amount Issued

€2,161,721

Amount Outstanding

€1,879,272

ISIN Code

MT0000081225

Maturity

The bonds will be redeemed at 140% (a 40% premium to the par value) on 15 December 2013.

Interest Payment

Annually on 15 December

XD Date

30 November

Listing

Official List

Directors

Angelo Xuereb, Michael Warrington, Philip Ransley, Michael Sciortino, Patrick Galea

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