Malta's smallest political parties - Alternattiva Demokratika and Partit Demokratiku, have agreed to merge.

The announcement on Saturday marks the conclusion of talks which were announced in December last year.

"Amidst a national climate of division and fragmentation, both AD and PD fully recognise the country’s need for concerted political action which finds common ground for the good of the entire country rather than polarisation for factional and partisan ends," the parties said in a joint statement.

The party is to be named AD/PD.

The next few weeks will see both parties function as a united Executive via a transition team. The parties aim to finalise the process and merge into a single legal entity in the coming weeks, upon which a new Executive will be nominated at the first AGM by September.

The two parties are currently not represented in parliament.

Alternattiva Demokratika - The Green Party - was formed in 1989 when then Labour MP Wenzu Mintoff and then Labour Party president Toni Abela were expelled from their party after making corruption allegations.  They were eventually readmitted to the PL (and years later made judges by a Labour government). The party contested several general elections but never got close to having anyone elected.

The Democratic Party (known as tal-oranġo, the orange party) was formed before the last general election by Marlene and Godfrey Farrugia, who had both been Labour MPs - Godfrey Farrugia also serving briefly as health minister.

In the run-up to the election they joined in coalition called Forza Nazzjonali, with the PN and their candidates appeared in the PN list of candidates.

Both Farrugias managed to get re-elected but the coalition was dissolved soon after Adrian Delia was elected to lead the PN. 

The two resigned from the PD in September last year, saying they wanted to give the party a chance to rebuild in time for the next elections. They have held their parliamentary seats but said they will not seek re-election.