COK Sodality Co-operative Credit Union raised $300 million from the market through its deferred share offer, Wealth Supreme, ahead of its July 18 deadline.

The two-month offer, which was made through lead broker MoneyMasters Limied, was aimed at broadening the range of products offered to members of the credit union.

The issue closed on July 18 and was fully taken up by COK Sodality Co-operative Credit Union members and other co-operatives. In fact, COK Sodality had to refuse applications on Friday, July 15, as the $300 million had already been raised.

“This is a historic and significant move by the credit union movement, as it signals the first time that a credit union has gone to the market to raise such a large sum,” said Jacqueline Mighty, CEO of COK Sodality Co-operative Credit Union.

She thanked lead broker of the offer, MoneyMasters Limited, for its professional handling of the process and members of COK, as well as other participating credit unions, for their show of support of the COK Sodality brand.

“We are committed to using these funds to strengthen COK Sodality’s capacity to deliver value to its members and to introduce more products to benefit our members, as our brand seeks to adapt to ever-changing and oftentimes challenging conditions to help our members emerge in a more secure financial position,” she continued.

At a media launch on May 17, Mighty indicated that, with the offer facilitating the expansion of COK’s capital base, the credit union would seek to establish itself as a one-stop financial organisation by offering sophisticated financial products, including the expansion of its mortgage portfolio and micro-finance business.

Also at the launch, president of Lead Broker Money Masters Limited, Claudette Crooks, noted that the Wealth Supreme was a variable rate five-year, no-withholding-tax offer, with an attractive initial rate of 7.85 per cent, with interest paid monthly. Crooks said the instrument would reset semi-annually after the first year at a reset margin of 150 basis points above the average six-month Treasury Bill yield.

“This is an extremely competitive rate, one which offers a relatively high return in a low-interest-rate market. In fact, the offer is designed for individuals in the medium net-worth to high-end clientele/membership segment which has a propensity for long-term savings,” Crooks said.

COK Sodality took the offer across all three counties, thereby giving investors the opportunity to learn about the financial gains to be derived from such a historic initiative.