FESCO takes equity stake in WIP Energy
FUTURE Energy Source Company Limited (FESCO) has taken a minor equity stake in WIP Energy Limited as it expands its private equity portfolio.
According to Companies Office of Jamaica (COJ) records, FESCO acquired 147,692,852 ordinary shares of the fuel distribution company between March 2024 to March 2025. That represented 13 per cent equity in the company when it acquired its stake.
However, FESCO’s stake declined to 0.60 per cent as per the latest company records whereas WIP Energy’s number of shares moved from 1.14 billion units to 24.44 billion units. Its parent company WIPL saw its stake move 77.22 per cent to 97.92 per cent.
WIP Energy was spun off from West Indies Petroleum Limited (WIPL) in March 2024 as a wholly owned subsidiary. It was converted to a public company in 2025 and is expected to raise up to US$75 million or $12 billion in a public offering. Ian Kent Levy and Gillian Harris were recently appointed to WIP Energy’s board of directors which is chaired by independent director, Patrick Hylton.
FESCO’s financials revealed that it spent $40 million in its March 2026 financial year on unquoted equity securities. The financials did not reveal which equity positions were in its portfolio, but it invested another $19.5 million for the quarter ending June 30 in an investment security. FESCO’s investment portfolio is worth $87.5 million or 1.30 per cent of its $6.83-billion balance sheet.
FESCO’s first private equity investment happened in 2024 when it acquired a 1.5 per cent stake in in MEL 2022 Limited for $23 million. MEL is the owner and operator of Mother’s Enterprises Limited, which makes patties and operates numerous food branches across Jamaica.
FESCO’s private equity moves occur as it widens its interests through additional service stations and expands its LPG business. The fuel marketing company opened its second company-owned, company-operated (COCO) service station in June 2025 on Spanish Town Road, and commenced operations of its convenience store during the three months ending June 30, 2026.
A new FESCO service station is set to be opened in Rose Hall, St James, next year, at a cost of $1 billion, by Vibrant Managers Limited. The principals of Vibrant include Fesco CEO Jeremy Barnes, Vernon James, and Steven Gooden.
FESCO’s revenue increased 41 per cent to $10.21 billion due to higher volumes and a wider network of service stations. However, the company’s expansion activities weighed down on its bottom line as operating expenses and finance costs compressed pre-tax profit which moved from $139.4 million to $167.53 million. Its net profit came in at $146.6 million due to it no longer having a 100 per cent tax break as of April 2026.
FESCO will meet with its shareholders tomorrow at its hybrid annual general meeting (AGM) at the AC Hotel Kingston.