MFS Capital Partners has received the green light from its shareholders to increase the company’s issued share capital and to subsequently raise new funds through a renounceable rights issue.

Shareholders present at the company’s hybrid annual general meeting (AGM) held online and at Summit Kingston on Tuesday voted unanimously in support of the two-part resolution, paving the way for the company to embark on another round of capital raise as it pursues growth opportunities.

Following the vote, CEO of MFS Capital Dino Hinds said that the company will make a “comprehensive disclosure as to the use of funds” raised from the rights issue through its broker. However, he pointed out that part of the proceeds from the fund-raising activity will be used to cover the expenses of the transaction while the remainder will go towards “building out the balance sheet of the company”.

When quizzed further about the broker that will be used to raise funds, Hinds revealed that the company has yet to ink an agreement with any and so will not be able to disclose that information until such time.

Responding to another question posed about the participation of MFS Acquisition — which holds a 50 per cent stake in MFS Capital Partners — or its renouncement of its right to purchase additional shares, Hinds said: “I’m advised that the intention would be to participate but, of course, the final decisions as to numbers and so on would come when the rights issue is about through. But, the advice is that we’ll participate.”

Earlier in the AGM, the CEO informed shareholders that the company is planning to build out its revenue streams, including money services, real estate and private credit. He also provided an update on the acquisition of Micro-Financing Solutions Limited, which was approved by the Bank of Jamaica and is now being transferred to full ownership under MFS Capital Partners.

MFS Limited previously operated as a microfinance institution but will now be converted into a money services provider, according to Hinds who said the company will provide remittance services for both Western Union and MoneyGram, as well as cambio services.

In relation to the company’s real estate plans, Hinds shared that, “We currently own 27 acres of prime development property in Westmoreland. We have already acquired approval from the Westmoreland Municipal Corporation for a subdivision of 90 lots and we are looking to complete this project in short order.”

Explaining MFS Capital Partners’ approach to the real estate investment, Hinds said the goal was to look outside of the Kingston and St Andrew market and instead focus on an underserved sector of the population, providing them with “housing solutions below $30 million”.

“So we definitely have the opportunity to acquire more properties. How we’ll go about it in terms of our strategy of acquiring properties is that we’ll have dialogue with NHT [National Housing Trust] to get information from them on areas which are underserved,” he continued.

Hinds, in addition, outlined that MFS Capital Partners will be working towards growing its assets to over $1 billion over the next three years as the company pursues becoming a full-service investment company — though he said he is cautious about making announcements.

At present MFS Capital Partners is pursuing the acquisition of a secuties dealer, the CEO shared. Moreover, the company has signed memoranda of understanding with three companies to acquire stakes in their businesses — Hickey Grant Property Masters (25 per cent), Postage Logistics (49 per cent), and e-Business Solutions Limited (50 per cent).