Shareholders call Hili Properties bosses ‘mafia’ during AGM

Shareholders who invested their hard-earned cash into Hili Properties plc shares did not hold their contempt towards the company’s directors during the latest Annual General Meeting held last week.

Some even stood up and called them ‘mafia’ and ‘robbers,’ hurling various other insults as frustration increased.

The company informed shareholders that this year it would not offer a dividend to shareholders, despite promising one of some four per cent per year in its original prospectus.

According to the directors, while the company registered a profit of approximately €4.7 million last year, it withheld the payment of dividends due to the upcoming maturity of a multi-million-euro bond later this year, which needs to be paid.

This infuriated shareholders. “The atmosphere was agitated during the meeting, with many small shareholders showing complete distrust in the company,” an observer at the AGM told The Shift.

“They kept protesting and asking for the real net asset value of the company, but they were never given an answer by Chairman Pier Luca Demajo,” another said.

Last March, The Shift reported how shareholders felt shortchanged by a voluntary buyback offer for their shares by the mother company, Hili Ventures.

Shareholders, who in 2022 bought their shares at €0.27c per share, were offered €0.24c per share, despite the company making significant profits during the year.

At the time of the offer, the Net Asset Value of the shares had reached €0.324c per share, with Hili Ventures (the parent company) proposing an offer of approximately 30% less.

The company had argued that it was paying the trading value of the shares on the Malta Stock Exchange. The company failed to reach its objective of controlling 90% of the shares and delisting Hili Properties.

Questions sent to the company were not answered.