MIDI was forced to accept a €43 million deal to return Manoel Island after the government’s legal threats brought it to the brink of insolvency, MIDI told its shareholders in a circular issued on Monday.
The starkly worded circular traces MIDI’s account of how negotiations for the return of Manoel Island progressed, detailing how it found itself holding a weak hand as a result of the government’s legal threat to scrap the entirety of the concession signed in 2000.
Two judicial letters filed by the government, threatening to rescind the entire concession, meant MIDI was unable to complete several apartment sales at Tigné Point. These sales were crucial to repaying a €50 million bond expiring in late July, the…