A timeshare company at the Radisson Blu Golden Sands Resort and Spa has been placed in voluntary liquidation but the shareholders are pledging to honour all commitments with the thousands of its members.
The winding up decision was taken through a resolution approved by the shareholders of Azure Services Ltd on April 27. Creditors have been notified that on May 11 a telephone conference would be held to appoint Richard Galea Debono as liquidator.
Azure Services Ltd was set up in 2003 when the resort, which belonged to Island Hotels Group, had opened its doors. In 2015, Corinthia Group assumed 50 per cent share of the company as part of their takeover of the Island Hotels Group.
The other half is owned by a group of international investors specialising in timeshare resort operations. In recent months, the company had been going through a rough patch. Last December, it announced it would no longer sell timeshare and holiday clubs but focus on its existing members. The decision resulted in the loss of around 80 jobs.
Reference to the restructuring process was made in a company announcement issued on May 5 by International Hotel Investments, which incorporates the Corinthia Group.
It pointed out that operations were being scaled down since December as its allocation of timeshare at the Golden Sands Resort had been largely sold out.
“Given the current outlook, this scaling down process has run its natural course, and a liquidation process has in fact now commenced,” the announcement read.
According to its website, Azure Services Ltd, which employed 180 staff, had more than 5,500 members. Most of its clients, who hailed from Malta, the UK and Sweden, had entered into contracts of up to 25 years, under which they had the right to holiday at the hotel for one or two weeks at a specific time of the year.
Corinthia Group expressed its intention to conduct the liquidation process in an orderly manner and that timeshare owners would continue to enjoy the same service and benefits as they had in past years.
“The shareholders have also reaffirmed that the Golden Sands Resort will fully honour all timeshare commitments arising from obligations entered into with existing members,” the group pledged.
Meanwhile, creditors of Azure Services Ltd were notified about the agenda of next week’s meeting in a letter signed by directors Joseph Fenech and Alexander William Lawson.
Employees were given the news through an e-mail sent by the company’s head of finance and corporate affairs, Mark Galea, who thanked them for their years of service.
Corinthia Group said action regarding the curtailment of employees would be made in line with all local regulations while emphasising that it remained fully committed to the future of the Golden Sands Resort as a high-end luxury destination.
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