Unit Trust of Fiji has acquired a 10 percent stake in Sun Insurance Company Limited, valued at $12 million.
Speaking to FijiLive, UTOF CEO Vilash Chand said this strategic move aims to enhance UTOF’s investment portfolio and strengthen its diversification. Chand mentioned that the acquisition was facilitated through a private placement of shares to institutional investors ahead of Sun Insurance’s anticipated public listing.
Sun Insurance is a well-established player in the Fijian market, providing 25 years of insurance services, and aims to raise over $30 million through its private placement and subsequent public offering. The funds raised are intended for Sun’s property development initiatives, leveraging its extensive property portfolio in central and western regions, including prime locations.
UTOF Chairperson Lavinia Kaumaitotoya expressed enthusiasm about the investment, emphasizing that Sun Insurance’s addition to UTOF’s portfolio would strategically enhance diversification and contribute to long-term stability. Kaumaitotoya noted that the decision followed a rigorous assessment of Sun Insurance’s performance over the past decade.
Sun Insurance Limited ranks as the third-largest general insurer in Fiji based on asset size and net earned premium. Meanwhile, UTOF currently manages a $450 million portfolio, anticipating it will reach half a billion dollars by the end of this financial year.