The Unit Trust of Fiji (UTOF) concluded the year with a significant investment, acquiring shares worth $10.5 million in Kontiki Finance Ltd (KFL). This acquisition positions UTOF as a major shareholder, owning 10 million shares, translating to 9.5% of KFL’s total shareholding.
In a statement on its website, UTOF highlighted KFL’s strong financial performance and solid presence in Fiji’s market, noting its diverse financial products and services. The partnership between UTOF and KFL aims to strengthen this growth trajectory.
KFL confirmed the acquisition, which took place through a private placement, and stated that the capital raised will be instrumental in funding its future growth initiatives, including expansion into the Samoan market, a point discussed in their recent annual general meeting.
The transaction price for the shares was set at $1.05 each. At the time of the report, KFL’s shares were trading at the same price on the South Pacific Stock Exchange.
This investment by UTOF not only signifies confidence in KFL’s business model but also reflects a broader trend of strategic partnerships in the financial sector that can lead to mutual growth and development.
Overall, this collaboration holds promise for further growth in the regional market, showcasing how strategic investments can enhance financial opportunities in the Pacific Islands.
Summary: UTOF invested $10.5 million to acquire 9.5% of KFL, aiming to boost its growth and expand into new markets, particularly Samoa, indicating strong confidence in KFL’s business strategy and performance.
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