Guardian Holdings to list on Jamaica Stock Market through introduction
With the publication of its abridged statement on the Jamaica Stock Exchange’s (JSE) website on Tuesday last and subsequent publication in the Business Observer, Guardian Holding Limited (GHL) will list by introduction by May 5 after a seven-year hiatus from the JSE.
The diversified regional financial services group, with a concentration mainly in the insurance industry, had signalled from its March 4 board meeting that it had intended to cross list its ordinary shares on the JSE based on the increasingly dynamic market which has had greater public enthusiasm towards equities in recent years. GHL had been listed on the JSE’s Main Market for 13 years before delisting at the end of 2013 based on the illiquidity of its shares which were trading at around $270.
There are five ways for shares to be offered on the JSE according to the JSE’s Main Market Rule Book. These include a prospectus issue, offer for sale, offer by tender, placing and introduction. The rule surrounding introduction states that the abridged statement for a company utilising this method must be published no later than a week after approval by the JSE with listing to be effected within 14 days after the abridged statement’s publication. GHL already is a publicly listed company with more than 100 shareholders who own not less than 20 per cent of the company.
This was confirmed based on a post made on LinkedIn by Herbert Hall, who is the vice-president and head of Investment Banking at NCBCM. NCBCM is a subsidiary in the overall NCB Financial Group (NCBFG) along with GHL.
“I am very pleased to announce that Guardian Holdings Limited will soon be listed on the Jamaica Stock Exchange Main Index. I think it is appropriate to say, ‘Welcome back to the JSE and by extension Jamaica’. I am humbled to be associated with this move as it augurs well for the continued development, integration and robustness of our capital markets.” stated Hall.
GHL recently became the first company to list on the JSE’s Private Market by listing the Tranche B and D portions of its 10-year bond valued at $7 billion. GHL raised $13.5 billion in September which was invested straight into Guardian Life Limited (GLL) through Guardian Insurance Limited. GLL acquired NCB Insurance Company’s $35-billion insurance portfolio based on the overall synergies being extracted by NCBFG. GHL will hold its annual general meeting on May 6 while NCBFG will hold its investor briefing on April 30.