Fiji’s South Pacific Stock Exchange (SPSE) ended a four-year listing drought when Vision Investment Ltd (VIL), successfully completed an Initial Public Offer and subsequently floated over 100million shares valued at $1.75 per share.
VIL is a fully locally owned company whose principal activities are the Courts Division (specializing in retailing electrical, home furnishing and electrical goods); the Vision Motors Division (associated with dealing in motor vehicles and semi industrial goods); the Mahogany Industries Division (manufacturers of high end furniture and joinery products); and the Vision Finance Division (provider of extended warranty products and operating leases).
In a move that has been seen positively by advocates of capital markets development in Fiji, the original four founder shareholders are expected to slowly release 40 percent of the company’s shares to the Fijian public through the stock exchange over the next five years.
This is expected to inject much needed scrip and encourage more retail trading in the local share market. On listing day, special crossings of around 28.98million shares were executed at a price range of between F$1.57 and F$1.75 to offload a portion of the company’s shares to a number of new and reputable institutional shareholders, among them the Unit Trust of Fiji, BSP Life (Fiji) Ltd and the Fiji National Provident Fund.