Pulse Rights Issue oversubscribed

Investors seem to be finding real value in Pulse’s stock. Pulse investments is reporting that their latest Rights Issue, which was opened to shareholders on record as of May 5, 2008, has been oversubscribed. The Rights Issue closed on Monday May 26, 2008. On offer were 18 million shares at $7 dollars per share.  According to the report, 20.2 million  shares were bought.

The money raised from the share offer will according to Pulse be used to 

  1. Refurbish Villa Ronai
  2. Expand their overseas operations
  3. Develop new interactive website
  4. New traflagar storage facility
  5. Peter Tosh Museum project
The share price for Pulse Investments closed at $7.00 and year-to-date the stock price is up a whopping 169.23%.

Source:  Pulse raises $120 mil from share offer

REIT IPO take up slow

The Carlton Savannah’h IPO has so far had a lukewarm response. Up until Wednesday of this week brokers have reported that things have been slow.

The Jamaica Gleaner Reports,

Brokers yesterday said that take-up of the J$1.254 billion initial public offering (IPO) by a Jamaican-based real-estate investment fund has so far been slow, but that offer could still prove a major success by the time it closes on Friday.

“There has been a lot of enquiries, but the uptake has been low,” an analyst at one brokerage house told Wednesday Business.

On the radio and other media, the ads promoting the offer have picked up. It will interesting to see what the how the take-up will turn out.

The offer closes on Friday May 30, 2008 at 4:00 p.m.


Micheal Lee-Chin’s Investment pays off

When Micheal Lee-Chin bought NCB I am not sure he dreamt that  in six-years his investment would pay off so quickly.  The Observer presents a very interesting peice worth reading

Yesterday, National Commercial Bank’s (NCB’s) share price closed on the Jamaica Stock Exchange (JSE) four cents lower than the day before. But for Michael Lee Chin, the price of $23.94 a share was more than seven times the price he would have paid per share back in 2002 when he bought a majority stake in the bank.

How much did he purchase NCB for in 2002?

Lee Chin bought a75 per cent stake in NCB back in 2002 for US$127 million (J$6 billion in 2002), of which US$56 million (J$2.65 billion) was made as a downpayment.

How much did he actually pay down to purchase his stake in NCB?

Considering that only J$2.65 billion was paid down, earnings from dividends and share sales would have taken care of the rest of payments that were made in tranches over the years following 2002, reflecting an even higher return on his initial investment.

The discussions will rage whether or not it was a good deal for Jamaica but for Micheal Lee-Chin, the deal has more paid off.

Source: NCB deal eightfold

Jamaica first REIT Share offer opens

Jamaica’s first real estate investment trust (REIT), Carlton Savannah, promises to give shareholders a minimum dividend payout of 6.3 per cent on their investment over the first two years.

In the offer, Carlton Savannah REIT Limited (CSRL),  promises 6.3 % returns per annum over the first 2 years. Them minimun shares is 10000 at @ J$5.91 and additional can be purchased in multiples of 100. Dividend payments will in US dollars or Jamaica dollars.

The investment needed to take up this opportunity is J $59,100.00 .

The Share offer opens on May 19, 2008 and closes on May 30, 2008

Source: Jamaica Observer

Jamaica Stock Exchange Preference Share offer opens

The Jamaica Stock Exchange (JSE) preference share offer opens today. The shares are being sold for $2.00 per share with a minimum lot of 15000 shares. Additional shares can be bought in lots of 10,000 shares.

The offer closes on May 30, 2008. For more details visit the Jamaica Stock Exchange at http://www.jse.com.jm