First batch of free EFL shares issued

Fiji's acting prime minister and Attorney-General Aiyaz Sayed-Khaiyum poses for a selfie with recipients for the first batch of Energy Fiji Ltd (EFL) Non-Voting Share Certificates in Nadi today. Picture: FIJIAN GOVERNMENT/FB

THE Fijian Government today presented the first batch of Energy Fiji Limited (EFL) Non-Voting Share Certificates to 50 customers in Nadi.

These are five per cent of the total shares in EFL in the form of non-voting shares, completely for free which was enabled through the corporatisation of the company (entity formerly known as Fiji Electricity Authority) earlier this year.

This means that eligible ordinary Fijian EFL customers will be granted a stake in the country’s energy provider for the very first time, giving them the chance to become a shareholder in the billion-dollar asset company.

Once a shareholder in EFL, these customers can get dividends from the company’s profit and would  benefit from any capital appreciation.

The Fijian Government had made a call to offer free shares in EFL to all domestic electricity account holders who are Fijian citizens and residing in Fiji during the corporatisation of EFL.

In presenting the share certificates, Acting Prime Minister and Attorney-General Aiyaz Sayed-Khaiyum said Fijians who come from low income households would be given more shares.

“What we have done is that you are not paying a single cent for these shares,” Mr Sayed-Khaiyum said.
“We have decided that when we corporatize EFL, part of the shares will be sold to strategic partners, people who have a lot of technological experience, we have got a track record in the energy sector.”

Government still owns majority shares in EFL.

Another parcel of 250 shares are being offered to those domestic customers, prepaid customers or post-pay customers who receive a subsidy under the Electricity Subsidy Scheme while non-subsidised customers will be offered one parcel of 150 shares.

The estimated notional value of each share would be approximately $1.40 per share.

The parcel of 150 shares being offered to non-subsidised customers is estimated to be valued at $210 and the parcel of 250 shares being offered to subsidized customers is estimated to be valued at $350.

Approximately 40,000 customers have registered already via an application form issued with an offer letter mailed from EFL pertaining the share offers.

The shares are expected to be later listed on the South Pacific Stock Exchange.