Fiji Television Limited has signed a Memorandum of Undertaking with Telikom PNG with regards to the possible divestment of Media Niugini Limited, a PNG subsidiary of Fiji TV.

Under the MOU, Telikom PNG will have exclusive rights to carry out a comprehensive due diligence on Media Niugini and make an assessment of value of the Media Niugini Limited.

Telikom PNG will make an offer to acquire Media Niugini business before November 30.

The decision to divest Media Niugini shares was a result of a law passed in Papua New Guinea which requires all television companies to be 50 per cent locally owned.

Fiji TV has been in discussion with a range of potential buyers in PNG for the past nine months.

Media Niugini Limited chairman, Iowane Naiveli, said: “We have been exploring the PNG market for expansion or divestment.

“Based on market conditions and including PNG media legal framework, we have agreed that the best decision would be to divest.

“We have built this company up in the last eight years and we want to give it back to PNG.”

Telikom PNG chief executive, Michael Donnelly, said they were excited about this business opportunity and saw positive synergies between both companies as they also own the FM100 broadcasting business.

“Now, with Media Niugini acquisition, we will be able to extend our offering beyond voice and data services with content to PNG market,” he said.

Fijian Holdings Limited is the major shareholder of Fiji Television Limited, a listed company on the South Pacific Stock Exchange. Telikom PNG is a state-owned entity in PNG.

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