AMALGAMATED Telecom Holdings Ltd and its subsidiary companies recorded consolidated borrowings totalling about $77.12million for the 2014 financial year.
This was less than the $88.83m borrowings in 2013, and comprised term loans from Fiji National Provident Fund, Bank of South Pacific, Westpac Banking Corporation, Southern Cross Cables Ltd and ATH Technology Park Ltd.
On August 21 last year, the holding company obtained a loan of $9m from its parent entity, FNPF, to finance the purchase of 51 per cent of government’s shareholding in Fiji International Telecommunications Ltd (FINTEL).
According to the report, the loan was secured by deed of assignment over government bonds amounting to $14m.
Subsidiary company, Telecom Fiji Ltd, also restructured its borrowings with FNPF by entering into a deed of variation of loan agreement, effective from April 1 this year, with new terms and conditions.
“Effective from April 1, 2014 the interest rate on this loan has been fixed at 4.25 per cent for the first two years of the loan term and will be varied for the remaining two years of the loan term,” the report highlighted.
It said the loan would be payable at monthly repayments of $1,034,000 inclusive of interest and was secured by the first registered mortgage debenture over all the assets of the subsidiary company except for the TFL New Wing building in Suva and the comprehensive insurance cover over the property with improvements.
The holding company reported last year that TFL had obtained a loan of more than $25.782m from the fund to settle the loan from ANZ Bank as part of restructuring borrowings.
