After signalling last May its intent to cross list on the Jamaica Stock Exchange (JSE), Massy Holdings Limited will officially list on the JSE via introduction on January 27.
This was confirmed through the publication of an abridged statement on the JSE's website on Friday. The publication of an abridged statement is required for listing in this manner as per JSE Main Market rules. The other ways a company can list include an offer for sale, prospectus issue, offer by tender and placing. The listing is being sponsored by Barita Investments Limited as the JSE broker while First Citizens Investment Services Limited is the other broker on the listing.
Massy is currently listed on the Trinidad and Tobago Stock Exchange (TTSE) where it has a market capitalisation of TT$10.49 billion ($239.28 billion). Massy closed at TT$106.02 ($2,396.05) on Friday as it hit an all-time high of TT$107. Massy's listing will leapfrog Sagicor Group Jamaica Limited (SJ) to become the second most valuable company behind NCB Financial Group Limited which is valued at $309.04 billion. SJ's market cap as of Friday was $204.09 billion.
This will inadvertently result in Sagicor Select Funds Limited – Manufacturing and Distribution (SelectMD) having to rebalance its composition to account for Massy's weighting on its component Manufacturing and Distribution Index (MDI). Currently, GraceKennedy Limited is the largest holding and makes up 20 per cent of the MDI and portfolio of SelectMD. GK is the sixth largest company on the JSE at $97.87 billion in market capitalisation. Guardian Holdings Limited's (GHL) listing via introduction saw Sagicor Select Funds Limited – Financial buying 700,000 shares of GHL for $539 million to rebalance the weighting in its portfolio.
Massy's listing on the JSE will come one week after its annual general meeting where shareholders will vote on a resolution for the company's shares to be split 20 to one, which would take effect on March 11, if approved. This would increase the issued share capital to 1,979,384,540 and the share price being reduced to TT$5.30 ($119.80) per share. It's unknown if the largest Massy shareholders would arrange an offer for sale through the leading broker after listing.
Guardian Holding Limited listed via introduction last May at $582.48. It's declined by 11 per cent to $515.98 while its TTSE counterpart has increased by 16 per cent to TT$30.01 ($678.23) since its cross listing on the JSE. Massy will pay shareholders this Friday a dividend of TT$2.30 per share or TT$227.63 million in total.