Proven Investments Limited (PROVEN) through a recent sale agreement with Massy Properties, a company in the Massy Group has acquired a 50.5 per cent stake in the Barbados-based company, Roberts Manufacturing Limited.
The transaction, to be considered at a cost of some US$21.5 million or a little over $3 billion, will provide PROVEN with the opportunity to increase its footprint in the real sector. The real sector of an economy is the sectors that produce goods and services.
“This purchase demonstrates our bullishness on the economic outlook, and tangibly allows us to participate more in the real sector which is poised for tremendous growth on the aftermath of the pandemic; that has heightened the demand on consumer goods and services,” said Christopher Williams, president and chief executive officer (CEO) of PROVEN Management Limited, investment managers for PROVEN Investments Limited, in a recent company news release.
PROVEN said its foray into this type of business will further diversify its portfolio helping it also to grow through acquisition in the real sector throughout the Caribbean and Latin American regions and create value for its shareholders. With this addition, the company's structure now includes a treasury division, private equity and real estate investments along with developments in the commercial and residential segments.
Roberts is a 21-acre industrial complex consisting of large manufacturing plants and produces a wide variety of margarines, shortening, soya bean oils and animal feed products which are distributed to over 15 markets regionally and internationally.
The Massy Group, in commenting on the strategic move, said that “The sale of this successful business is consistent with the group's strategy to focus and optimise its current portfolio, and to position itself to capture growth opportunities.”
PROVEN, however, said that completion of the transaction was subjected to regulatory approval.
“Closing is scheduled to take place three business days following the receipt of all regulatory and governmental confirmations, approvals, and acknowledgments, save that the closing date may not be extended beyond 30 days,” a report posted to the Jamaica Stock Exchange (JSE) website stated.