BUSINESS NEWS
July 03, 2012 12:00:00 AM
  Follow @ Twitter

Southern Cross Foods Limited is the new owner of Fiji Dairy Limited (FDL).

This was announced this afternoon by Minister for trade and Attorney General Aiyaz Sayed-Khaiyum.

Sayed-Khaiyum said this was after cabinet approved the sale of FDL to Southern Cross Foods Limited a subsidiary of CJ Patel with a purchase price of $10million.

“The $10 million could fluctuate depending on the level of debts at the time of the actual sale being finalised but together with SC Foods it will takeover the entire debt portfolio of Fiji Dairy Limited which is approximately $17 million,” said Sayed-Khaiyum.

He said the agreement for sale has number of conditions to it and this has been agreed to with the proposed purchaser.

“They will hold 80 per cent of the shares in the company, the farmers will continue to hold 20 per cent so they will have all the dividend rights but not the voting rights but the farmers will have a 100 per cent control of the Fiji Corporative Dairy Limited which is their organisation, they will all be shareholders in that and of course they will get dividend in that,” he said.

Meanwhile, FDL chair Adrian Sofield said they received 16 expression of interest and they narrowed it down to 12 and then to two companies after tow companies withdrew.

He said the company was chosen because they have a good distribution network and experience in food processing not only in Fiji but other Pacific islands.

He also said  the whole process will be finalised within six to eight weeks in order to get all the paper work done.

By Mereani Gonedua
 

hasee


PREVIOUS STORY
Stock market not necessary here: Sharma
NEXT STORY
Get business in order: Commission urges

Bookmark and Share
   




FIJI NEWS
Month end deadline for aspiring FLP candidatesAspiring politicians interested in contesting the upcoming general election under the Fiji Labour Party banner have until the end of this month to apply for candidacy.
WORLD
'Green'-tinted SUVs at Seoul Motor ShowGas-guzzling SUVs, eco-friendly electric cars and the odd brave attempt to marry the selling points of both are taking centre stage at the biennial Seoul Motor Show.
HEALTH/FITNESS
Clean-up day to curb dengue outbreakFiji's Ministry of Health has declared a clean-up day next Thursday for residents in the central division as it ups the tempo against a dengue fever outbreak currently experienced in the country.
SPORTS
Ryan confident of a good outing in last legVodafone Fiji 7s coach Ben Ryan is confident his team can deliver the best of results for the final two tournaments of the HSBC Sevens World Series in Glasgow and London.
ENTERTAINMENT
Kiesza scores UK number 1 with HideawayCalgary-born 25-year-old Kiesza has her first UK number 1 single with Hideaway.
NEWS SPORTS INFOTAINMENT SERVICES MOBILE EXTRA HOT TOPICS