Ba Holdings eyes tourism, hotel investments

Ba Provincial Holding Company Limited is targeting a new phase of growth through tourism investments, a unit trust and a proposed three-star hotel, following what its chief executive describes as a major financial turnaround.

Chief executive Sitiveni Weleilakeba outlined the company’s performance and plans for the next two years during the 2026 Ba Provincial Council Meeting at Sofitel Fiji Resort and Spa in Nadi today.

He said the company had moved from having no cash reserves to holding more than $1 million in the bank, despite recording a loss of $94,000 in 2024 and anticipating a loss in 2025.

The balance includes a provision for dividends. The company declared a dividend of $331,000 at the end of September, equivalent to 10 cents per share, with a further five cents per share planned before the end of the year.

Mr Weleilakeba said cost-cutting and restructuring measures had helped improve the company’s cash flow and debt servicing.

Staff numbers were reduced from 82 to 15, generating savings of about $650,000, while loan renegotiations lowered interest rates from eight per cent to four per cent.

Monthly loan payments fell from $113,000 to $76,000, he said.

The company also renegotiated its rent arrangement with the Government, generating an additional $100,000 a month, or about $1.2 million annually, without additional expenditure.

Mr Weleilakeba said savings from two cost centres were estimated at between $750,000 and $800,000.

He said the company had completed its first strategic pillar, consolidation, and was now shifting its focus to diversification and growth.

Over the next two years, the company plans to diversify its income through equity investments and acquire stakes in established businesses that generate steady dividends.

Mr Weleilakeba said proposed investments included a 30 per cent stake in Nadi International Airport and Blue South Seas Cruises.

The company is also planning to launch the Ba Provincial Holdings unit trust and develop residential lots.

He said the strategy was to invest in established businesses rather than take on the risks associated with starting new ventures.

Hotel proposal

A proposed three-star hotel on company-owned land is also being considered as part of the growth strategy.

Mr Weleilakeba said selling 50 per cent of a property to the proposed unit trust could generate about $7 million.

The funds could be used to repay a $7.1 million loan or help finance the hotel development.

He said discussions were under way with Chinese partners, with the aim of completing the project within six months without taking on new borrowing.

The proposed hotel would be built on subdivided land behind Rogorogoivuda House in Lautoka.

Mr Weleilakeba said the company’s turnaround had been achieved within the first 10 months of the current leadership.

He acknowledged past differences between the Ba Provincial Council and Ba Holdings, saying there was no need to engage in a blame game.

“I don’t say this to take pride in myself,” he said.

“What happened with Ba Holdings in the past was like we were going nowhere. But now we are like the Israelites going to a place of milk and honey.”

He said the company’s focus was now on strengthening its financial position, improving shareholder value and building sustainable income for the future.