Recently Energy Fiji Limited (EFL) sold 44% of its shares to Sevens Pacific Ltd, a subsidiary of Chugoku Electric Power Company Ltd and the Japan Bank of International Cooperation. The major shareholder indicates that the new shareholders in bring in new technology that will be more costs effective and environmentally friendly. Using only the extract from the 2019 financial information provided with this exam paper for EFL, answer the following questions:

a. )What do you think is the estimated value of the 44% of the EFL shares sold to Sevens Pacific Ltd. Clearly state your assumptions and show full calculations. You must use more than one way of calculating the value of EFL shares. (20 marks)

b. )What other information provided in the EFL 2019 financial report will have an impact on your valuation. Your answers must only refer to the EFL reports provided with this exam paper.