FULLY iTaukei-owned investment company Fijian Holdings Ltd (FHL) has revealed it has paid out $142million in dividends to shareholders since its inception 40 years ago.
The company started with a capital of $30.4m, comprising $20m in concessional loans from the government and $10.4m from shareholders who started with the company.
FHL Group CEO Jaoji Koroi attributed this strong growth to its governance structures, which he says will also form the foundation of the proposed joint venture with natural resource owners.
Indigenous-owned investment company Fijian Holdings Limited (FHL) has paid out $142million in dividends to shareholders in its 40 years of operations in the country.
FHL Group CEO Jaoji Koroi revealed this at the two-day Fiji Indigenous Business Council (FIBC) FHL Workshop 24 while presenting on the ‘Bridging the commercial gap: Institutional role’ session that ended at the RB Harbour Point Convention Centre yesterday.
FHL was established in 1984 with $30.4m, comprising $20m in concessional loan from government, and $10.4m from those who initially started the company.
Mr Koroi said considering the starting capital of $30.4m and $142m in dividends, meant shareholders who were there from the start would have received their dividends four to five times.
He said the value of their shares have also increased, and cited an example that for a shareholder who purchased a share for $1 back in 1984 will be selling that same share for $9 in today’s market.
He said that means the share value for those shareholders would have increased 15 times over in that period.
At present, 72 per cent shares are owned by iTaukei institutions — iTaukei Affairs Board, iTaukei Trust Fund Board, and iTaukei Land Trust Board.
He said the top 20 shareholders include provinces, districts and villages, with some of those shares now valued at a million dollars today, excluding paid dividends.
He said this was a good time for iTaukei to invest in FHL.
“E cicivaki tu vaka kabani, e cici tu na kena cicivaki na governance ni kabani e na vanua e vakatubui lavo kina (It is run as a business, it is managed with governance structures in its investment portfolios),” Mr Koroi said.
He attributed that to FHL’s strong performance.
Mr Koroi also explained the joint venture model it is presently exploring, where FHL has set aside $50m (10 per cent) of its capital to partner on investments with resource owners.
