GOVERNMENT PLANS $9-B TRANSJAM DIVESTMENT
THE Government of Jamaica (GOJ) is finalising plans to divest its remaining 20 per cent stake in TransJamaican Highway Limited (TJH), a move expected to further broaden public ownership of critical infrastructure assets. Prime Minister Andrew Holness, speaking recently, confirmed that the sale will be executed through a public offer on Jamaica Stock Exchange (JSE), following the requisite approvals obtained last year.
“The Government has facilitated public ownership of national assets via the stock exchange, and we are doing more,” Holness said. “Very soon, we will be divesting the remaining 20 per cent shareholding in TransJamaican Highway through a public offer for sale.” He was speaking Tuesday at the opening ceremony of the JSE’s 20th Regional Investments & Capital Markets Conference 2025.
Angus Young, CEO at NCB Capital Markets, speaking on Wednesday shared how much he believes the Government could earn from the divestment.
“I think what we can share today is that the Government of Jamaica is intent on divesting their full 20 per cent of TransJamaican Highway which sits under NROCC at this time. TJH is a publicly traded share. So, I think it’s a simple calculation may run you about $9 billion, give or take.”
This next phase of divestment builds on the initial public offering (IPO) of TJH in 2020, during which National Road Operating and Construction Company Limited (NROCC) sold 80 per cent of its shares in the toll operator, raising approximately $11 billion. That transaction marked a milestone in the GOJ’s strategy to use privatisation as a tool for wealth creation and economic growth.
TJH, a wholly owned subsidiary of NROCC, operates the east-west toll road under a concessionary agreement, giving it exclusive rights to manage and maintain the Highway 2000 east-west corridor. This role is integral to the GOJ’s Vision 2030 infrastructure development initiative, which aims to modernise transportation and bolster economic activity.
Since the IPO, TJH has undergone a period of substantial growth. Ivan Anderson, CEO of TJH, shared insights into the company’s transformative journey during the JSE’s regional conference on Thursday.
“In 2020 our revenues were US$45 million; today, they stand at US$75 million — an increase of over 67 per cent,” Anderson stated. “Our profits have also tripled, rising from US$8 million in 2020 to US$23 million in 2023. This growth has driven our valuation from US$125 million at the time of the IPO to approximately US$343 million today.”
Further, shares from the 2020 IPO, initially priced at $1.41, have risen nearly 300 per cent, trading at $4.24 on Thursday. The remaining 20 per cent stake is anticipated to draw considerable interest from investors when the public offer is launched
In addition to its strong financial performance, TJH is investing in infrastructure upgrades and technology to enhance its operations and user experience. Anderson highlighted the company’s strategic priorities, including expanding toll plazas and improving access points to meet rising traffic volumes.
“We’ve seen a significant rise in traffic on the highway, with an average of 70,000 vehicles daily and peaks of 100,000 during the Christmas period. To accommodate this, we’re expanding several toll plazas, including Vineyards, and adding new ramps at Freetown. These upgrades will ensure a smoother experience for our users,” Anderson explained.
The company is also focused on integrating resilience measures into its highway designs to address the impacts of climate change. “It’s not just about maintaining the road; it’s about designing for the future. We’re exploring ways to anticipate issues like potholes before they occur, using technology to address them proactively,” he said.
Technological innovation is another avenue through which TJH is looking to grow. The company plans to roll out a fully automated “tap and go” system for toll payments by year end, allowing motorists to pay seamlessly with credit cards.
“Right now, you hand your card to the toll teller and they process the payment manually. By the end of the year we’re moving to a system where you simply tap your card and the barrier opens instantly,” Anderson said.
Further embracing digital transformation, TJH is piloting WhatsApp-based toll top-ups to provide users with real time account management. “This is about making it as convenient as possible for our users. We’ve seen how platforms like WhatsApp can simplify everyday transactions, and we’re leveraging that to improve the customer experience,” Anderson noted.
Urbanisation trends are also driving TJH’s growth, particularly in areas like Portmore and Old Harbour where major housing developments are underway. “With projects like Bernard Lodge and others along Old Harbour Road we’re seeing significant residential growth. Our highway is critical to supporting that expansion,” Anderson added.