KINGSTON, Jamaica — CEO of NCB Capital Markets (NCBCM), Steven Gooden has confirmed the company’s acquisition of a 20 per cent shareholding in transport company Knutsford Express Services Limited (KEX).

The purchase of shares was made from Proven Investments Limited — placed as the fourth largest shareholder in the transport company — which executed the sale of twenty million and two shares on Tuesday.

 The transport company began paying dividends for the first time this September, offering shareholders 15 cents per stock unit owned for a total payment to shareholders of $15 million.

Share price for KEX closed at $10.58 per unit on Tuesday when the transaction was done, indicating that NCBCM may have paid in the region of $211 million.

In November 2014 when Proven acquired the shares, the holding was valued by the company at J$115 million, pointing to a gain of near $100 million for one year’s investment.

First quarter revenue for Knutsford for the period ending August 31 was up 39 per cent for the company, from $103.3 million in August 2014 to $ 143.2 million. This was due mainly, the company said, to growth in passenger travel. Its cash balances improved from $48.52 million in August 2014 to $66.87 million this August.

Net profit for the period climbed from by $18.6 million to $ 35.7 million for the quarter.

The company stated in its first quarter results that it has increased departures from the North Coast.

Knutsford CEO Oliver Townsend declined comment last night, saying he would await the receipt of documentation. 

Avia Collinder