Trading on the Junior Market of the Jamaica Stock Exchange settled on Thursday with 16 securities changing hands, resulting in an exchange of 2,015,630 units valued at $11,835,081 compared to 1,087,963 units valued at $5,258,148 on Wednesday.
Lasco Distributors accounted for 60 percent of the volume traded as the Junior Market Index advanced by 22.19 points to close at 2,985.55. At the close of market activities, the prices of 7 securities advanced, 5 declined and 4 remained with the prices unchanged.
Trading ended with an average of 125,977 units for an average of $739,693 in contrast to 67,998 units for an average of $328,634 on Wednesday. The average volume and value for the month to date amounts to 79,378 units, valued at $354,819 and an average of 76,123 with an average value of $327,928, previously. In contrast, September closed with average of 116,176 units valued at $538,652 for each security traded.
Trading ended with the market sentiments looking mixed for Tuesday trading activity as 4 stocks ended with bids higher than their last selling prices and just 1 with a lower offer.
In market activity, Access Financial settled with a loss of 1 cent at $41.20, with 734 units trading, AMG Packaging lost 9 cents to close at $3.40, with 143,540 stock units, Caribbean Cream ended trading at $5.90, with 5,816 stock units changing hands. Caribbean Producers declined 9 cents end trading at $3.65, with 27,114 units, Consolidated Bakeries jumped 76 cents to $2.81, with 1,220 stock units, Derrimon Trading ended at $7, with 1,000 stock units, Express Catering climbed 66 cents higher to $5.10, with 73,142 shares, after the company reported that profit more than doubled in the quarter to August from a 10 percent rise in revenues. Honey Bun traded 10 cents higher at $4.40, with 1,000 units, Iron Rock closed 25 cents higher at $3.15, with 61,538 shares, ISP Finance settled at $18, with 2,983 units, Knutsford Express closed 1 cent higher at $15, with 66,270 units, Lasco Distributors settled with a loss of 5 cents at $6.25, with 1,214,790 stock units changing hands. Lasco Financial concluded trading at $4.20, with 155,534 shares, Lasco Manufacturing settled with a loss of 20 cents at $4, with 14,700 units, Main Event traded 21 cents higher at $5.36, with 9,621 units and Stationery and Office ended trading 17 cents higher at $5, with 236,628 units.
Prices of securities trading for the day are those at which the last trade took place.
All Berger directors must go
Trading in shares of Berger Paints were suspended from October 5 to 13 as the takeover offer to buy out minority shareholders entered the final stage. Trading resumed on Tuesday this week, without one word being said as to the outcome of the take up.
Considering the very strong recommendations made by directors for shareholders to take up the offer, it would be logical if the investing public was informed about the results. Trading is taking place with investors being in the dark.
This is no way to run a capital market. The Stock Exchange has information but has so far done nothing to get investors promptly informed as to the status of the company remaining listed. The Financial Securities Commission that is there to protect investors seems completely dead. With directors putting out highly questionable information in support of their ill-advised recommendation to sell, these regulators left investors completely exposed to improper information.
IC Insider.com gathers that around 6 million units were surrendered by investors. What is known by this publication, is that the larger minority shareholders with more than 31 percent of the shares, were never influenced by the recommendation to accept the offer and did not sell. That left smaller investors who unfortunately have given up their chance to reap a huge pay day in 2018 when the price is likely to be in the $40-50 range. Very sad indeed.
The stock exchange needs to get information out to the public and fast. And while the Jamaica Stock Exchange should do so, the Trinidad and Tobago Exchange needs to do the same as the Ansa Coatings parent, is listed on that exchange and should be informing their shareholders of the outcome of the offer as well.
Apart from what would be expected of Ansa to advice of the added acquisition. Under the Jamaica Stock Exchange rules, each listed company is required to report connected party transactions. The directors’ recommendation stated that all directors who owned shares directly and their connected parties, as well as two senior managers intended to accept the offer, accounting for over 500,000 units. These are connected parties and Berger is required to inform the Stock Exchange of these transactions along with the major shareholder buying, as a part of insider trading information.
With such poor judgement, minority shareholders need to demand that all directors resign from the board with immediate effect as no confidence can be placed in them to protect the interest of minority. One hopes it does not get down to that and that all will resign forthwith without having to be pushed.