Double listing on the JSE’s main and junior markets
The Jamaica Stock Exchange (JSE) saw another historic day on Tuesday last (September 29), when TransJamaican Highway cumulative redeemable eight per cent preference shares and Tropical Battery Limited ordinary shares were listed on the JSE’s main and junior market, respectively.
In July, the National Road Operating and Constructing Company Limited made an offer by private placement of 2.7 billion units of the Transjamaican Highway Limited eight per cent cumulative redeemable preference share. The offer closed successfully with the company having 48 preference shareholders.
The instrument will be redeemed in full in 2030, with an option for partial redemption commencing in year six. The shares will trade under the symbol TJH8.0 and dividend payments will be made quarterly.
TransJamaican Highway Limited listed its ordinary shares on the JSE main market and the JSE USD equities market in March.
The Tropical Battery Company Limited will trade under the name TROPICAL. The 325 million units offer, which was at an invitation price of $1.00 per share, opened on September 22 and closed on the same day due to oversubscription of approximately 50 per cent.
“I am pleased that both investors and issuers have seen that there are still viable opportunities in the market and that commerce must go on in spite of COVID-19. I am encouraged that even now our brokers and potential customers are preparing to list more securities on the market and to take advantage of the liquidity that exists evidenced by based on the oversubscription of the securities recently offered,” stated Marlene Street Forrest, managing director of the JSE.
According to JSE, the success of these offers can be attributed in part to the lead broker NCB Capital Markets Limited’s dedication to grow the capital markets. To date, NCB Capital Markets Limited has successfully listed three securities on the JSE in 2020.
Herbert Hall, NCB Capital Markets vice-president and head of investment banking for Jamaica and the northern Caribbean, indicated that the wealth and asset management firm will continue to bring “pandemic-resilient” opportunities to its clients, in addition to helping them to navigate these unusual times.
“We are extremely delighted with the response from our investors who have recognised the significant value in these securities and have decided to invest despite the pandemic. We thank the board, management and staff of TransJamaican Highway Limited and Tropical Battery Limited for reposing great confidence in our ability to execute their transactions successfully,” Hall said.
