Fiji’s award winning marina, Port Denarau Marina Ltd (PDML) has launched an Initial Public Offer (IPO) in Fiji, with intention to raise over F$10 million and to list on the South Pacific Stock Exchange (SPX) following the offer’s scheduled closing on the first week of next month.
According to its offer document, available online on SPX, 8 million PDML ordinary shares are now on offer at F$1.31 per share, bringing the proposed total capital to be raised to F$10.48 million.
The 8 million shares on offer represent 20 percent of the company’s issued shares.
Apart from broadening the company’s shareholder base from its current single shareholder, the offer also aims to raise capital to help finance future expansion plans and current developments, some of which are outlined in the prospectus, such as “a new Marina reception, amenities and office block as well as dredging to expand the superyacht marina, both of which are due for completion in the second half of 2019.”
“Since the purchase of the marina assets by Skeggs Group Limited in 1999, PDML has been at the forefront of Fiji’s largest industry, tourism. In its most recent financial year, PDML’s marina on Denarau Island saw some 495,000 tourists, representing over 54% of Fiji’s annual tourist numbers, transiting through our facility,” said David Skeggs, chairman of Skeggs Group Ltd, the sole owner of PDML.
“In addition, the Marina had 23 foreign cruise ships visit and welcomed over 400 yachts and 54 Superyachts to our facilities. These numbers have grown steadily over the years and are set to continue on this trend, reflecting the strength of Fiji tourism as well as the importance of Denarau Island, and the Marina in particular, as the ‘gateway’ for marine tourism.” Skeggs added.
He said over the years, the company has invested significant capital to bring the Marina facilities up to world class standards in their design, ambience, efficiency and safety and every effort is put into ensuring that the Marina’s operations work in harmony with its marine environment.
Recent developments include the reclamation of the foreshore creating over half an acre of additional space for the installation of an architecturally-designed tent structure to extend the main passenger terminal and check-in facilities.
This is in addition to current work underway on the new Marina reception, amenities and office block.
“We are excited to highlight additional developments in the pipeline including the Denarau Marina Mall and Apartments development. All this is part of PDML’s vision of developing a world-class tourism destination designed around the Marina, which acts as an important hub for Denarau Island and Fiji,” said Skeggs.
PDML’s after tax profit during its financial year ended July 31 2018 was $2.89 million, while in the six months ended January 31, 2019, it posted F$1.11million in after tax profits.
The offer period is from July 9 to August 6, 2019 and listing is expected to take place in mid August.
Anyone interested in buying shares is advised to contact a licensed stockbroker.
