NUKU’ALOFA – The Tanoa Hotel Group of Fiji has pulled out from its proposed takeover of the International Dateline Hotel, Moeaki Tatafu, the CEO for the Ministry of Finance and National Planning told the Tonga Chamber of Commerce this week
Mr Moeaki did not elaborate on why the take-over negotiations came to a sudden end, other than to stress that the Tonga Government did not revert over what it initially put on the negotiation table. He said that after a hand-shake with enthusiasm to move forward, the Tanoa Group had come back and said that they were pulling out.
Mr Moeaki said government, as the land owner, had offered a 75-year lease, and the Tanoa Group was willing to invest $18million in renovating the property.
The hotel had been closed since 28 February, to enable the Tanoa Group to start the $18million pa’anga reconstruction work.
Mr Moeaki said the hotel would remain closed while negotiations would resume with the other bidders to take over the reconstruction and the running of the International Dateline Hotel. He said they would also be talking to the Tanoa Group.
During his presentation, for the members of the Tonga Chamber of Commerce, there was an assumption that the Tanoa Group were not happy with the government taxation regime, which discourages investments. Lisiate ‘Akolo, who was Tonga’s Minister of Finance during the negotiation with the Tanoa Group, expressed his surprise that they had pulled out.
