The Fijian Government will invest $6 million for 51% shareholding in Counter Ruck Pte Limited, which was established by the Fiji Rugby Union to own and operate the Fijian Drua.
Minister for Economy Aiyaz Sayed-Khaiyum says the Fiji Rugby Union had requested a grant, but Government is unable legally to give a grant to a private company.
He says they can, however, take a share in the company and divest it at a later date.
Sayed-Khaiyum adds through this Revised Budget, the government will allocate the first tranche investment of $3 million for 25.5 percent shareholding.
The second tranche investment of an additional $3 million will be undertaken by December 2022 to secure the total 51%.
By December 2022, the Fiji Rugby Union will own 49 percent shareholding while the Fijian Government will own 51 percent.
In addition, Counter Ruck Pte Limited will be granted a 13-year income tax holiday, and will be provided a waiver for customs duty on goods imported specifically for the establishment of Fijian Drua-related venues and the High-Performance Unit for the period 1st July 2022 to 30th June 2023. A 200 percent tax deduction is also provided for sponsorships above $250,000 to the Fijian Drua.
