FIH group plc (FIH) is quoted on AIM (Alternative Investment Market), incorporated in the United Kingdom, with operations in the Falkland Islands and the UK. Its business activities in the Falklands are conducted by The Falkland Islands Company (FIC), established by Royal Charter in 1852. FIC's activities include retailing, property, insurance, hotels, shipping and fishing agency services.
In the UK the group operates a long established passenger ferry service across the mouth of Portsmouth harbour, Portsmouth Harbour Ferry Company (PHFC).
On 5 March 2008 the group acquired MOMART, a market leader in the handling and storage of fine art and antiquities.
The Board is keen to focus on a long term growth strategy to fully develop the potential of its existing businesses in both the Falklands and the UK and believes that a policy of re-investing profits to support accelerated growth will yield long term benefits for shareholders. Significant investment opportunities exist in both the Falkland Islands, where the Group is well placed to capitalise on the recent further positive news of commercial oil discoveries, and in the UK where the Group already has two strong specialist services businesses. The Group will seek to develop its UK presence further through both organic and acquisition led growth.
It is the Board’s considered view that the Group can best take full advantage of existing and emerging opportunities by a policy of maximising the reinvestment of profits and suspending dividend payments in order to accumulate resources to build a much more substantial group with greater critical mass in its respective markets. We believe this more focused long term approach will have more appeal for existing and prospective investors and offer much greater shareholder liquidity. The Board is confident that this new approach and focus will lead to more certain capital growth and greater overall returns for shareholders in the long term.
In accordance with this increased focus on investment and growth, the Board has decided to cease dividend payments until further notice.