Jan 2008 Financial News

JMMB 12.25% preference trades higher at launch

Jan 16, 2008

The two Jamaica Money Market Brokers preference stocks were listed Monday on the Jamaica Stock Exchange with the 12.25 per cent instrument notching a five cent gain on the first day on trades of 1.7 million units.

The 12 per cent pref did not trade.

JMMB in December offered a 12 per cent preference to the wider public priced at $3 and a 12.25 per cent pref to its clients at $2.95 per unit, with take up on both securities amounting to 3,155 applications for 854.55 million shares redeemable in three years.

Their listing brings the preference stock available for on the exchange to 14.

The issues raised more than $2.5 billion for the company, whose capital base now stands at $10 billion according to chairman Dr. Noel Lyon, up from $7.2 billion at financial year end March 2007.

"In 15 short years, we have grown from a vision of what we could be to the third largest financial institution in Jamaica with sudsidiaries and associated companies in Trinidad and Tobago, St. Lucia, Barbados and most recently in Dominican Republic," said Lyons, who co-founded the company with late businesswoman Joan Duncan.

The issue was oversubscribed by more than 500 per cent — JMMB had initially meant to raise $420 million, but got $2.524 billion in subscriptions and took it all.

Chief Executive Officer Keith Duncan gave kudos to both his team, saying their level of passion in structuring and packaging the offer was "phenomenal", and to advisers KPMG.

The funds are expected to finance the brokerage's expansion under its Vision 2025 plan.

Source:
The Jamaica Gleaner
Wednesday 16, January, 2008

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