Mainland investors look for local partners

A company that taps water from humidity to solve the CNMI’s water needs, the world-renowned Hilton International, a California firm that seeks to establish a nursing school on Saipan—these form part of the group of investors that are currently on-island and are assessing local business prospects.

Some 15 investors representing companies engaged in diverse industries assembled yesterday at the Hyatt Regency Saipan for the 2005 Business Opportunities Mission sponsored by the U.S. Department of the Interior. The mission ends today.

Paul Harvey, Hilton International vice president who is based in Tokyo, said his company is interested in possibly expanding its operations to Saipan, which he toured for the first time yesterday, along with other conference delegates.

“I was very impressed with the sites I’ve seen,” Harvey said, citing the Bird Island, Grotto and the cliffs in Marpi.

Engaged in hotel management, the company is interested in partnering with hotel owners so that Hilton could handle hotel operations, according to Harvey.

California-based Air2Water LLC wants to introduce dehumidification technology on Saipan to solve the island’s water needs. The company holds the only patents on re-circulation of water derived from dehumidification. Its generation machines keep water fresh by re-circulating water through a series of filters and ultraviolet light that kills bacteria.

Air2Water vice president Navy Tuiasosopo said the technology would help solve Saipan’s dependence on its groundwater resources that have contamination problems. He said that, if a machine can produce about five gallons of water with less humidity in Los Angeles, it could produce more gallons of water on Saipan where humidity is higher.

Tuiasosopo said that he is looking for local partners on Saipan to distribute Air2Water machines that could be used in hotels, business establishments and homes.

Pleasant Care Corp., a company that operates nearly 50 convalescent hospitals and nursing homes in California and Nevada, wants to operate a nursing school on Saipan as part of its efforts to meet the demand for nursing professionals in the United States. Pleasant Care executive vice president Sedy Demesa is also eyeing the establishment of a senior citizen community on Saipan, among other business prospects.

Partnering with local educational institutions is one of the goals of Hawaii-based Argosy University so it could offer undergraduate to doctorate programs that are currently not available on-island. The Hawaii university is just one of the 13-campus Argosy University System in the United States. Argosy undergraduate and external programs director Cindy Lee said the institution is currently assessing the CNMI’s need for educational programs.

The other companies participating in the mission are in construction, software manufacturing, satellite communications, wholesale, and financing, among other industries.

They include Bridgecreek Development International, Common heritage Corp., Digital mediums LLC and the HiRez Network, Express Electronics, Global General Technologies, L & L Financial Holdings Corp., Nekton Diving Cruises LLC, Unified Western Grocers Inc., USC Marshall School of Business, and the Overseas Private Investment Corp.

The mission follows the 2004 Business Opportunities Conference that was sponsored by the DOI in Los Angeles sometime last year.

The Saipan Chamber of Commerce views the group’s visit as a step toward diversifying the CNMI’s economy.

“It’s almost inevitable that we have to diversify our economy,” said Chamber president Alex Sablan. The Chamber hosted a luncheon roundtable for potential investors at the Aqua Resort Club yesterday.

Gov. Juan N. Babauta said the mission would provide local businesses an opportunity to interact with potential investors and partner with them.

“The government has done what it needs to do. I hope that out of this event, some deals will be made,” the governor said.

Government officials, including Finance Secretary Fermin Atalig and the Commonwealth Development Authority’s key executives, attended the gathering to explain incentives and tax breaks available to investors.