31 August - 6 September 2000

Eden Leisure Group plans major restructuring

by Franco Aloisio

On the eve of its 35th year anniversary, the Eden Leisure Group is planning a major restructuring programme and intends to set up various companies and subsidiaries within the same group, Eden Leisure's Director of Leisure and Entertainment Edward Fenech told The Malta Business Weekly.

Mr Fenech said a public liability subsidiary company - Eden Leisure plc - will be set up to handle the Lm10m bond issue that is to be launched towards the end of next September.

Another company will be set up - Eden Entertainment Ltd - which will be responsible for the day-to-day running of the company's entertainment operations which include the 16-screen cinema complex, the bowling alley, Bay Radio, and the forthcoming ice-skating ring, Cynergi fitness centre and IMAX theatre.

Mr Fenech said a third company - Eden Hospitality Ltd - will be set up and will be responsible for the hotel and timeshare business of the group. At present, a new five-star hotel - the Eden Inter-Continental, is being built in St George's Bay.

He said a strong management team is being formed within the Eden Leisure Group to run the various businesses more professionally and efficiently. The marketing and human resources arms of the group are being strengthened.

"Ultimately our main responsibility is to give a service. To do so in the 21st century, the group has to pass through a transition period from being a family-centred business to a fully blown organisation," Mr Fenech said.

He said the directors of the company - Ian and Kevin DeCesare - will have a lesser role in the day-to-day running of the operations.

"However, both Ian and Kevin will be focusing more on strategies which will make the various companies more successful, while further developing the corporate identity of the group."

Mr Fenech added: "The group recognises that growth requires an element of delegation and trust. We have very valid people heading our various operations. Our aim is to further strengthen our team."

Meanwhile, the Malta Stock Exchange is excepted to authorise the listing of the Eden Leisure Group's Lm10m bond issue. The bond issue will partly contribute to the financing of the several projects which are currently underway. The total cost is expected to be in the range of Lm20m.

Ian DeCesare explained that the reason for the bond issue was to diversify the sources of funding for the group's capital projects. He said the aim was to spread the investment to the whole Maltese community.