Construction entrepreneur Joseph Portelli is set to exit CF Estates Ltd after reaching an agreement with the company and its remaining shareholders for the cancellation of his 30% stake.

In a company announcement, CF Estates said an agreement signed today between the guarantor company and its five shareholders outlines the terms of Portelli's departure. The exit will be implemented through a reduction of share capital, involving the cancellation of 1,892,460 ordinary A shares with a nominal value of €1 each, representing 30% of the company's issued share capital.

Under the agreement, Portelli will receive compensation of approximately €6.65 million, paid through a mix of cash and in-kind consideration. The amount corresponds to 30% of CF Estates' enterprise value as at 30 September 2025.

Following the capital reduction, the four remaining shareholders have committed to restore the company's share capital by subscribing to new shares with a total nominal value equal to those cancelled. They have also undertaken to replenish the enterprise value paid to Portelli as soon as practicable after the transaction becomes effective.

CF Estates said it will provide further updates to the market once the capital reduction process is completed.

Portelli, a prominent figure in Malta's construction and property development sector, did not disclose the reasons behind his exit from the company.