RESOURCE in Motion Limited (RIM), a Donovan Lewis-controlled business, has ascended the summit to become GraceKennedy’s largest shareholder with a 4.71 per cent stake worth $3.44 billion.

This was revealed in GK’s March 2024 shareholder disclosure as RIM purchased 3,437,329 ordinary shares during the quarter to own 46,838,772 shares. The ascension comes as NCB Insurance Agency and Fund Managers A/C WT109 sold 8.18 million shares over the last year, which has pushed it down to the number two spot.

This move further cements the RIM, Donwis Limited and Ideal Group business empire formed by Lewis more than 30 years ago. The private business has stakes in numerous public and private companies, with RIM also owning six per cent of Advantage General Insurance Company Limited. Lewis-affiliated companies also own 76 per cent of Salada Foods Jamaica Limited. Some of RIM’s most notable positions include:

Fifth-largest shareholder of Scotia Group Jamaica Limited with 38,389,031 shares or 1.23 per cent, closing price of $41.67. Sixth-largest shareholder of Carreras Limited with 90,134,852 or 1.86 per cent, closing price of $8.95. Fifth-largest shareholder of Caribbean Cream Limited with 32,479,583 shares or 8.58 per cent, closing price of $4.20.

Other notable positions controlled by Ideal and Donwis include:

Ninth-largest shareholder of NCB Financial Group Limited with 32,531,588 shares or a 1.28 per cent stake, closing price of $62.03. Combined third-largest shareholder of Sagicor Group Limited with 61,886,591 shares or 1.59 per cent stake, closing price of $40.90. Combined third-largest shareholder of Berger Paints Jamaica Limited with 24,480,767 shares or a 11.47 per cent, closing price of $7.72. Fifth-largest shareholder of Radio Jamaica Limited with 98,455,351 shares or a 3.26 per cent stake, closing price of $1.11.

While the top 10 only control 30.62 per cent of GraceKennedy, there have been notable changes in the last year to the composition of the list. Masa Investments Limited appeared on the top 10 list in June 2023 and has since risen to the number nine spot with 15,022,440 ordinary shares or a 1.51 per cent stake. As a result, Masa is the largest Trinidadian shareholder in GK, which is also listed on the Trinidad & Tobago Stock Exchange. Masa is the second-largest shareholder in Ansa McAl Limited and significant owner of Ansa Investments Limited, Ansa McAl’s largest shareholder.

FREDKENN Limited has also emerged as GK’s 10th-largest shareholder with 14,677,381 shares or 1.47 per cent. FREDKENN is controlled by Fred W Kennedy and Georgianna Kennedy. Fred is the son of former GK executive Luis Fred Kennedy and grandson of GK co-founder Fred William Kennedy.

GraceKennedy Group Chief Executive Officer Donald G Wehby also increased his interest in GK during the first quarter as he acquired 647,933 shares to bring his direct stake to 12,218,732 shares, or a 1.23 per cent stake. GK’s other key executives such as Frank James, Gail Moss-Solomon, Grace Burnett, Andrea Coy, Andrew Messado, Steven Whittingham and Lee-Ann Bruce increased their direct interest in GK during the first quarter.

The increased shareholder interest in GK by different investors is also reflected in GK’s financial performance, with the food and financial conglomerate growing revenue during the first quarter by eight per cent to $42.35 billion. Despite a sharp rise in operating expenses to $40.48 billion operating profit grew four per cent to $2.99 billion. GK’s net profit attributable to shareholders marginally grew from $2.12 billion to $2.16 billion.

GK has remained active in its pursuit of growth through acquisitions and expansion of its existing services. It was announced last week that NCB Financial Group’s Lynk mobile application was enabled to accept Western Union remittances along with its GK One mobile wallet application.

GK also saw additional executive changes as Patsy Latchman-Atterbury resigned as managing director of GK Capital Management Limited on May 22. Kareem Tomlinson, who is also the managing director of GK Investments Limited, was appointed as the new GK Capital managing director on the same day.

GK has also been actively buying back its ordinary shares under its share buy-back programme, with the company having purchased 2,030,722 ordinary shares up to May 6 relative to its approved 9.95-million ordinary share target. GK’s stock prices closed Tuesday at $73.40/TT$3.88, which leaves the stock down by more than seven per cent in each market.

GK shareholders will meet today at its 42-56 Harbour Street downtown Kingston headquarters for its annual general meeting. The event, which begins at 2 pm, will also be streamed on YouTube and other electronic platforms.