Tuna rancher, developer joins MMH board, rescue deal remains unfinished

Mediterranean Maritime Hub (MMH) has appointed tuna rancher and prominent developer Salvu Ellul to the board of its operating subsidiary, MMH Malta Ltd, in the latest sign that the company’s rescue transaction is progressing.

Ellul stepped in with a package for the troubled former Marsa Shipyards concessionaire to acquire a stake in MMH, injecting fresh capital to ensure the repayment of MMH’s €15 million bond, which matures in October 2026.

Yet the share purchase agreement announced earlier this year has still not been finalised, despite declarations that the transaction was “expected to be concluded by the end of April”.

In a company announcement issued on 1 June, MMH confirmed the appointment of Ellul, maritime captain Nicolas Giordano and Jonathan Cassar to the board of MMH Malta Ltd, the group’s principal operating company.

The appointments took effect on 14 May and were made by the current shareholders of MMH Malta Ltd.

The announcement is notable not for what it confirms, but for what it does not.

When MMH unveiled the investor consortium in April, the company indicated that the transaction was expected to be completed by the end of that month, subject to customary approvals and due diligence processes.

More than a month later, the company is still referring to the “finalisation of the share purchase transaction” and states only that the deal “remains on track” and is expected to be concluded, “in the coming months”.

No announcement has yet been made confirming that the share transfer has taken place, that the transaction has closed, or that the promised capital injection has been received.

The delay is likely to be closely watched by bondholders and market observers after a turbulent period for the Marsa-based maritime operator.

MMH has spent the past two years grappling with mounting concerns over its ability to redeem the bond at maturity. The company repeatedly warned that repayment depended on attracting new investors and securing fresh capital.

Earlier rescue discussions involving other investor groups failed to materialise, while delays in publishing audited accounts led to the suspension of trading in the company’s bonds.

The arrival of Ellul on the board nevertheless signals that the incoming investors remain engaged.

Ellul is best known for his involvement in Malta’s tuna ranching industry and has interests spanning infrastructure, construction and property development. MMH highlighted his involvement in landmark Maltese projects, including Malta Freeport, Malta International Airport and Portomaso.

The board appointments suggest that investors are already taking an active role in the governance of MMH’s operating business, even before the transaction is formally completed.

Whether that translates into a completed acquisition and the long-awaited injection of funds remains the key question.

For now, MMH bondholders are still waiting for the announcement that matters most: confirmation that the transaction has finally closed and that the financing required to underpin the company’s bond repayment plans is in place.