Tonga bank shares sale not finalised [1]
Wednesday, July 12, 2006 - 19:39. Updated on Friday, October 17, 2014 - 10:00.
The Tonga government's proposed sale of its shareholding in the Westpac Bank of Tonga was not finalized, said the new chairperson for the Westpac Bank of Tonga Board, Ms Jane Kittel, who is currently in Tonga on a five-days visit.
Jane took over as the new Chief Executive for the Westpac Pacific Banking and a chairperson for the Westpac Bank of Tonga Board in early April, following the retirement of Alan Walter. She is currently on her first tour of Westpac's seven locations in the Pacific to give her "a first hand experience and a chance to better appreciate the environments we operate in."
With regards to the proposal by the Tongan government to sell either in full or a percentage of its 40% shares in the Westpac Bank of Tonga, Jane said that the value and the percentage of the government shares that it would put up for sale was a matter for the Tonga government to decide, but as of today, she said nothing had been finalised.
The two major shareholders at the Westpac Bank of Tonga are the Westpac Banking Corporation 60% and the Government of Tonga 40%. If government sells all its shares to the Westpac Banking Corporation it becomes a fully owned Westpac bank, she said that there would be very little change to the operation of the bank. "The only change will be in the type of reporting. We will be reporting to Australia because we will be governed by Australian laws."
Jane will leave Tonga on Friday for the Cook Islands.