Squire Patton Boggs has advised the government of the Republic of Fiji in the divestment of 20% of the shares in Energy Fiji Limited (EFL) to the Fiji National Provident Fund (FNPF).
Following the divestment, the government will retain 75% of the shares in EFL, with the remaining shares held by FNPF (20%) and the general public of Fiji (5%).
The transaction valued Energy Fiji Limited at an enterprise value of FDJ$1.3 billion (AUD$870 million) and included a number of mechanisms to allow the government to undertake future divestments.
Previously, we advised the government of Fiji in relation to reforming the regulatory framework governing the electricity industry, subordinate regulations and a licensing regime, the corporatisation of the utility into a company and the public offer of 5% of the government’s equity interest to a broad base of eligible Fijian citizens.
Partner Simon Rear, who led the transaction, said “This divestment is the culmination of a long process designed to set up the utility to power ongoing economic development across Fiji. The transaction had some unique arrangements with significant complexity and it was a pleasure working through these issues with our client, ANZ, FNPF and its advisers.”