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Fiji Time: 8:38 PM on Thursday 24 April

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Change to improve bank

Timoci Vula
Tuesday, January 01, 2013

A MATERIAL change in one of Fiji's investment bank is expected to provide it a more stable, reliable source of funds to strengthen its performance.

Kontiki Growth Fund director Erick Larson said in exchange for its shares in the Fund, KGF was receiving a proportionate holding (22.521 per cent) of each of the companies in which Kontiki Fund had invested.

In a market statement via the South Pacific Stock Exchange (SPSE), Mr Larson said this transaction, part of the Fund's ongoing three-step strategy to improve performance, would strengthen the fund going forward by providing dividend income directly to KGF from investee companies.

He said the transaction accelerated the priority the board and management of KGF had emphasised on so that the fund could continue to hold those attractive investments.

He added that by continuing to hold investments in established companies believed to be attractively priced, the transaction would preserve value from existing investments.