But FPNF also talking to other possible investors

Robert Matau






Chinese investors could be the Fiji National Provident's answer to the failed multi-million dollar Momi Bay Resort Project on the Nadi coast.
Suzhou Youth Travel Services, one of China’s top international travel agencies and owns fixed assets totalling RMB30,000,000 (approximately $17.17 million), will be sending a high-powered delegation this month to Fiji to inspect the project.
Another from from Zhejiang Province is expected to be here later in the year.
Suzhou Travel Service is not new to Fiji. It is the parent company of the Fiji-based SSS International Hotel (SIH) which is building a F$40 million 60-room hotel at Nadi.
The company will be sending across their bankers, architects and engineers to take a look at the Momi Bay Resort.
The resort was seized by government after it introduced the Momi Bay Development Decree this year. This legislation gives  Fiji’s superannuation fund, the Fiji National Provident Fund, full control over the resort. There were a number of caveats placed on the title of the property but the decree gave the fund full control to continue the development.
The fund has a $60.7 million exposure to Momi, where the vast 140ha first stage involved 22km of roading.
The fund has more than 300,000 members but its Momi stake has been a disastrous investment.
The state found it was essential and imperative that the fund acquired proper ownership of the stagnant tourism project so it could realise the securities the fund held in Momi.
Bridgecorp was developing the resort when it failed. It collapsed in July, 2007 owing $459 million.
Bridgecorp had a $49.1 million exposure in the Momi project .
The FNPF 2009 annual report states that Momi was revalued at $55 million. The first attempt by the FNPF to divest the property through an auction failed with the highest bidder offering only $41 million.

Options
Since the failure of the project, FNPF has been looking at a number of options—two of those involve selling the property outright or finding a partner to go into a joint venture.
A delegation of FNPF executives and local trade representatives were in Shanghai, China, last month attending a week-long Pacific Islands Forum Trade Office organised seminar on Doing Business in China. 
The delegation travelled to SYTS headquarters in Suzhou city in Jiangsu Province, to meet the chairman of the company and executives.
FNPF Chief Investment Officer Jaoji Koroi told the trade seminar that their objective was to find an investor to either purchase Momi Bay property outright or form a joint venture and complete the project.
FNPF chairman Ajith Kodagoda said the response from China was expected.
“We had meetings with few potential investors whom we have now engaged for the expression of interests (EOI) in Momi.
“We had a specific focus to meet investors and let them be aware of the EOI process for Momi.
“From that we now have, a few parties are looking at the proposal seriously and we will have follow-up meetings with them.
“There is also an interest from the Sanmen County Government in the Zhejiang Province. They’ll visit us later in the year to explore other business opportunities. China offers big opportunities but we need to know what we want and we have to work on them.”
FNPF realises the importance of the Chinese business and will go out of their way to ensure its businessmen are given the right treatment when they visit Fiji.
“Dealing with Chinese businesses involves hierarchy and order. When you speak to an official of the company, he will always have to report back to someone above him and very seldom do you get to the number one,” Beijing based PIFTO Trade Commissioner, Samu Savou said.
China is not the only country FNPF is talking to. It is also engaging with other prospective investors in other markets. 
Koroi said those interested parties needed to register their Expression of Interest by August 27. Notification of the successful party should be done by the end of November.