S.L. 463.52 Art. 3Eligible projects.

The Corporation shall support an initial investment:

(a) carried out by a small or medium sized undertaking that results in a qualifying activity related to the setting up of a new establishment, the extension of the capacity of an existing establishment, the diversification of output of an establishment or a fundamental change in the overall production process;

(b) carried out by a large undertaking that results in a new qualifying economic activity consisting of the setting up of a new establishment or the diversification of the activity of an establishment, provided that the new activity is not the same or a similar activity to the activity previously performed in the establishment;

(c) consisting of the acquisition of assets belonging to an establishment that has closed or would have closed had it not been purchased, provided that:

(i) the establishment shall be utilised for carrying out a qualifying activity;

(ii) the activity carried out in the establishment following the acquisition by a large undertaking is not the same or a similar activity than the one caried out in the establishment before the acquisition;

(iii) the sole acquisition of the shares of an undertaking does not qualify as initial investment;

(d) for which start of works occur within the period established in the Guidelines;

(e) which conforms to all the terms and conditions established in the Guidelines;

(f) an undertaking availing itself from the benefits of these regulations shall provide a financial contribution of at least twenty five per cent (25%) of the eligible costs, through its own resources or by external financing, in a form which is free of any public support; or

(g) any investment supported in terms of these regulations and the qualifying economic activity, shall be retained in Malta after the completion of the investment project for a period of not less than three (3) years and not more than five (5) years in the case where the said qualifying economic activity is carried out by a small or medium-sized undertaking.