THE iconic Caribbean Fashionweek (CFW) will not be held for the third-consecutive year in a row despite the removal of the restrictions which impacted the ability for events to be staged.

The event, which started in November 2001 and had its last staging in June 2019, is Pulse Investments Limited’s iconic annual fashion event which allowed it to hold a fashion show with Caribbean and international designers and showcase the various properties in St Andrew where the company operated from. It also served as an income stream for the business as well.

However, the annual series has been on hiatus since the novel coronavirus pandemic in March 2020 in addition to the uncertainty surrounding the ability to host events up until last month. Even with the ability to put events on once more, Pulse didn’t believe it would have been possible to host the event in such a short time.

“Obviously, fashion week requires a lot of forward planning because of the diversity of people who come in and travel for that time. Different countries are experiencing different aspects of COVID-19 right now, even though it seems like it’s receding, but fashion week is an event that requires extensive planning. When we’re finished with one event, we’re planning already for the next one. There will be no fashion week this year given that we’re a month and a half from June. We’re looking to possibly hold it next year,” stated co-managing director, fashion and lifestyle, Romae Gordon at the company’s recently held annual general meeting (AGM).

When asked if the company couldn’t return to its original November date during 2022, Gordon explained that the event was held in June for strategic reasons. June is the final month of Pulse’s financial year and represents their fourth quarter of earnings. Pulse earned $14.08 million in ticket sales while 2021 was nil.

“In 2020 we thought that we would be gleefully engaged in a robust Caribbean fashion event. We had just launched our African connection and we were looking to expand that in 2021, accepting and conceding that COVID would have taken over for 2020 and we wouldn’t have been able to execute anything. We really do have to tread cautiously and plan accordingly. We can forecast and think about doing it next year, given that we have a full year ahead of us, but conditions change and we also have to pivot,” Gordon expounded.

This begged the question of whether or not Pulse would have benefited from Champs 2022 with its Pulse Rooms offering at its Trafalgar Road office. The ISSA/Grace Kennedy Boys’ and Girls’ Athletics Championships was held between April 5 to 9, three days before the AGM.

“That marketing window for anybody in the related and associated businesses was extremely short. Remember, the Government basically just reopened the country for events. At one point it was fully vaccinated versus unvaccinated. That whole environment is touch and go. We would not be able to say specifically that there has been direct benefit to our rooms because of Champs, but we did put the marketing out there in the Connecticut and New Jersey regions for anybody coming into Jamaica. They could have stayed at our rooms for great prices,” said co-managing director, property and leisure, Safia Cooper.

The sudden reopening of the entertainment and events space has resulted in a slew of events happening across the island as patrons look to enjoy outdoor activities once again. However, this has not gone down well for many persons — especially those living on the north coast — as Ocho Rios, St Ann, became gridlocked with traffic during the Easter weekend break. That lead to Pearly Beach no longer receiving permits for events in the interim. Cooper described the quick rush as, “It’s a hot mess now. There’s loads of events and flyers coming out every second.”

The Peter Tosh Museum currently remains in limbo on when it will reopen, especially as Pulse tries to navigate the safety of visitors and legacy of the legendary singer. Chairman Kingsley Cooper explained that a conference will be held soon to determine when the museum will reopen as the location is there to stay at its Trafalgar location.

When shareholders present queried about the $1.1-billion senior secured bond that was announced last September, Kingsley Cooper explained that the funds were not disbursed then as the company had to meet a strict set of pre-approval conditions first. The bond was intended to repay a $440-million senior bridge facility with Barita Investments Limited (BIL) last September. However, the facility is still listed as a current liability on Pulse’s balance sheet. It was also intended to finance the first phase of the 30-unit single developments in the Villa Ronai Valley, which has been sold off.

BIL is Pulse’s third-largest shareholder with 5.847 per cent as at December. Barita has increased its stake by 0.34 per cent, or 22,366,772 shares, since June 2021. The company arranged and underwrote the bond for Pulse.

With Pulse now being an approved real estate developer, Kingsley Cooper stated that the company will be looking to extract further value from its $5.58 billion of investment property. Shareholders approved the increase in the authorised share capital to 20 billion ordinary shares, along with the possibility to execute a stock split, additional public offering,or rights issue. Kingsley Cooper stated that Pulse would aim for $2 billion to give it capital to deploy across the Corporate Area. The company recently acquired adjacent land to develop the road and additional parking for Villa Ronai developments. He also explained that a formal dividend policy would be developed following the current financing arrangements taking place. Pulse hasn’t paid a dividend during its current financial year.

“There are many ways for us to monetise the increase in investment property. One of course relates directly to the pandemic. Once we’re in a position to move into full marketing mode of the guest suites and at Pulse Rooms, then you [secure] a potential $500-$600-million-per-year revenue stream in cash. With Pulse Homes, you’d now be able to have cash coming in from the sales of these homes. The increase in investment property results in potentially over $1 billion in annual cash coming from the investment property,” Cooper closed.