PRODUCTIVE Business Solutions Limited (PBS) got the green light at its special meeting on Thursday to issue new preference shares later this year.

PBS shareholders approved the amendment to its restated articles of incorporation which cover the ability to issue up to 40 million cumulative redeemable preference shares – denominated in US dollars – and allow the directors to set the terms for the issue and allotment of the preference shares. These preference shares should have an interest rate of 8.25 per cent and the price will be determined by the directors.

The exact purpose of the preference share raise is unknown. PBS is set to acquire Xerox del Peru, SA and Xerox del Ecuador, SA from Xerox Holdings Corporation by the end of June, once authorisation is received from the Ecuadorian competition authority.

PBS currently has three preference shares listed on the Jamaica Stock Exchange (JSE) and Barbados Stock Exchange (BSE). The 9.75 per cent preference share (2017 raise) – which has a par value of $100 – is set to mature on July 31, with another preference dividend to be paid at the end of this month. The other two preference shares are perpetual cumulative redeemable preference shares which have no exact maturity date for at least the next 15 years.

PBS provided an update to the JSE that its audited financials have been delayed again and should be published by June 28. PBS’s first-quarter financials are also pending, based on the delayed audited financials. PBS’s audited financials were due on March 30 after it submitted its unaudited fourth-quarter report in February.