FHL/BP loan bid with overseas bank

June 30, 2009 05:59:55 PM

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A loan application by Fijian Holdings Ltd (FHL) to finance its multi-million dollar purchase of petroleum giant BP South West Pacific is at the assessment stage with an overseas bank, says FHL managing director Sereana Qoro.

In a market announcement earlier this month, FHL said it had reached an agreement to extend the time frame for the acquisition of BP South West Pacific to mid to late June 2009.

Qoro told FijiLive, the deal will take place even though it is taking long to finalise.

“As you understand things have happened in this country that are beyond our control and the banks themselves have taken a while coming back and forth,” Qoro said.

“But we are dealing with overseas banks and they have a long process of assessing.

“That’s what we are going through right now,” she said.

FHL has an agreement in place to purchase BP South West Pacific’s operations at a cost of $190 million, in addition to an initial $5 million deposit towards the acquisition.