St James Hospital in Sliema has been sold to foreign investors, a group of American and Palestinian businessmen, The Malta Independent has learnt.
The deal, worth millions, is set to be announced shortly.
The new owners will keep the name of St James, while all other property that is so far run under the St James name will now be renamed Santa Maria. This includes the hospital in Zabbar.
Dr Josie Muscat, the majority shareholder, told The Malta Independent that the deal will be finalised in two weeks time and that it was a family decision. On Tuesday, Dr Muscat visited the Sliema hospital and addressed the heads of department "for the last time as chairman".
More details will be forthcoming once the deal is set in stone, he said.
Other sources said that Dr Muscat conducted the deal without informing the other shareholders, including his children.
Dr Muscat owns 55% of the shares, while five of his children own nine per cent each, for a total of 45%.
Employees who spoke to The Malta Independent said that they have been told that they will be holding their job. They were informed about the deal some three weeks ago. The employees said that they have been told that the hospital will remain open with all its present staff being retained - it's just that it will start to operate under new owners.
Saint James Hospital was the brainchild of Dr Josie Muscat, the present Chairman of the group which was founded in 1984. Saint James Hospital Group provides a comprehensive range of healthcare services – ranging from simple blood tests to diagnostic scans, cosmetic surgery to dental services and laser hair removal to complex surgery.
The Saint James Hospital Group took over Capua Hospital in December 2002 and it became the largest hospital the group had.
The 80-bed hospital includes a 24-hour GP service, executive rooms, outpatients clinics, in-patient pharmacy, an immediate medical care unit and a cardiac intensive care unit.
In a statement, Saint James Hospital International categorically denied media reports (not The Malta Independent) that its commercial operations in Libya have proved to be a burden on the local operations and that this triggered the imminent sale of Saint James (Capua) Hospital.
Managing Director of Saint James Hospital International Jean Claude Muscat stressed that the international operations have always been run by a separate and distinct company which is managed separately from the local operations: “The media reports linking the Libya operations with the sale of Saint James (Capua) Hospital are completely fabricated. There isn’t an ounce of truth in them.’’
“The truth is that the international operations of Saint James Hospital are managed by a separate structure which focuses specifically on the operations in Libya and Hungary. Saint James Hospital International also runs its own operation in Hungary. Of course Saint James Hospital International did face difficult times four years during the Arab Spring Revolution and is facing difficult times today with the current domestic turmoil in Libya. However this has not placed any burden whatsoever on the local operations of the Group.”
Mr JC Muscat stressed that the operations in Libya have resumed: “Precautions have been taken and for the time being resources have been scaled down, however operations are ongoing. Saint James Hospital International has full faith in the Libyan people and are confident that eventually the situation will improve. We did not throw in the towel as far as Libya is concerned - far from it - that is not in our nature.”
Saint James Hospital International stressed that it is reserving the right to take legal action against reports that are fabricated. It stressed that the reports making such allegations were damaging with regard to its Libya operations and that the company will not tolerate speculations that are not based on facts and that can harm the company.
Mr JC Muscat also said he will not be commenting on the imminent sale of Capua Hospital because that falls within the realm of the local company that manages the hospitals in Malta. Information relevant to the local operations will be released once the deal is finalised.