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The South Pacific Stock Exchange says any decision to suspend Fijian Holdings Ltd (FHL) share trading or even to de-list it are remote possibilities that have no basis at this stage.
SPSE chief executive officer Jinita Prasad said any rumour that hinted at the delisting of FHL was unfounded as there were procedures that needed to be followed before listed companies were penalised, with delisting being an extreme course of action to take.
“There are procedures to be followed. If companies fail to comply with listing rules, then certain actions can be taken. They can be warned, fined or suspended from trading. Delisting is a little extreme,” Prasad told Fiji Live, quelling speculations that FHL may be heading for a delisting as uncertainty continue to surround its F$190 million bid to acquire BP South West Pacific Ltd’s oil business in the Pacific region.
After months of delay in securing finance for the deal, FHL had, for the first time, admitted last week that it had met with some difficulties.
The company was further hamstrung by a government decision last week to suspend its board of directors and managing director to make way for a corporate governance audit.
While the suspended directors and managing director Sereana Qoro were later reinstated, the Fijian investment conglomerate said it had completed the audit report, which has been forwarded to Prime Minister Voreqe Bainimarama.
Prasad however called on this report to be made public for the sake of transparency.
“From our point of view, as the regulator of the stock market, the exchange needs to ensure that if any material information had come out of that audit, then it needs to be made public so that all shareholders and investors can make informed decisions,” she said.
FHL share price has been on a decline and last traded on SPSE at $2.78 per share.
