Investors in Proven Investments US ordinary shares a strong message to the management of the group by talking with their money. Last week, the company’s shares were sold at $20 and less in the Jamaican dollars on the main market of the stock exchange when the price in the US dollar market was near J$31.
On Tuesday 550,000 shares were sold at J$24 in the JSE main market while 1.83 million units traded, with the stock closing at 23 US cents, 1 US cent less than the price of the right issue. The price has suffered a steep fall since the company released the full year results to March and got worse since the announcement of the rights.
Trading in the main market of the Jamaica Stock Exchange closed on Tuesday with the market indices rising, even as advancing stocks were fewer than declining stocks. At the close, the All Jamaica Composite Index advanced 898.62 points to close at 259,352.76, the JSE Market Index gained 818.75 points to 236,299.73 but the JSE US dollar market index lost 5.93 points to close at 181.40.
At the close of trading, 24 securities changed hands in the main market of the exchange with 1 trading in the US dollar market, leading to 9 stocks advancing and 12 declining. Trading in the main market ended with 2,115,285 units valued at $50,230,238 changing hands compared to 1,709,564 units valued at $44,534,888 at the close on Monday. Trading in the US dollar market accounted for 1,828,601 units valued at US$421,790.
IC bid-offer Indicator| At the end of trading in the main and US dollar markets, the Investor’s Choice bid-offer indicator reading shows 4 stocks with bids higher than their last selling prices and 1 with a lower offer.
The main market ended trading with an average of 88,137 units valued at $2,092,927 for every security traded compared to an average of 74,329 units valued at $1,781,396 on Monday. The average volume and value for the month to date ended at 243,952 units with an average value of $4,245,530 compared with an average of 252,609 units with an average value of $4,365,119 on the previous trading day. The average volume and value for May ended at 358,008 units and $9,037,303.
In market activity, Berger Paints closed at $13, losing $1.30 trading 7,842 shares, Cable and Wireless closed at $1.13, with 23,303 stock units changing owners, Caribbean Cement traded $3 higher to close at $28 exchanging 26,007 shares, Carreras lost 30 cents to close at $86.50, with trades of 916 units, Grace Kennedy closed at $42, gaining $1 with an exchange of 11,922 units, Jamaica Broilers closed at $18, with gains of 9 cents trading 120,579 shares, Jamaica Producers exchanged 17,174 units to close at $16. Jamaica Stock Exchange lost 1 cent, closing at $6.99 trading 115,220 shares, JMMB Group gained $1.47 to close at $18.50, with 301,494 units changing owners and Kingston Wharves lost $1.10 to close at $28.90 trading 8,540 shares. Mayberry Investments closed at $4.55, losing 45 cents with trades of 5,600 shares, NCB Financial Group closed at $70, with gains of $1.40 after exchanging 93,364 shares and PanJam Investment gained 79 cents to close at $34.89, with trades of 26,073 shares. Proven Investments traded $3 higher to close at $24 exchanging 550,000 shares, Pulse Investments closed at $17.99, losing 1 cent with an exchange of 500 shares, Sagicor Group closed at $34.53, gaining 43 cents trading 48,115 shares and Sagicor Real Estate fund lost 60 cents to close at $11, with 146,392 shares changing hands. Scotia Group closed at $45.50, with gains of $2.99 exchanging 324,221 shares, Scotia Investments closed at $36.58, with a loss of 42 cents trading 194 units, Seprod traded $2 lower to close at $28, with an exchange of 6,700 shares while Supreme Ventures closed at $7.65, gaining 24 cents with 86,000 shares changing owners. Proven Investments US ordinary shares closed at 23 US cents, losing 0.01 US cent with trades of 1,828,601 units, JMMB 7.5% preference share lost 5 cents to close at $1.85 exchanging 75,500 shares, JMMB Group 7.5% preference share closed at $1.13 trading 329 units and Proven Investments 8.25% preference share traded 119,300 units at $5.17.
No spike in TTSE trading after holiday
All three market indices closed higher at the end of trading, on the Trinidad & Tobago Stock Exchange on Tuesday, after trading resumed following the closure on Monday for a public holiday. The market closed with only 7 securities being exchanged compared to 8 on Friday.
At the end of trading 68,846 securities traded valued at $1,366,738 in contrast to Friday’s trades of 507,698 units, valued at $10,611,513. Market activity led to 3 stocks advancing, 2 declining and 2 were unchanged. Clico Investment dominated with 86 percent of the market’s value.
The Composite Index gained 0.47 points to 1,211.53, the All T&T Index rose 0.55 points to 1,790.61 and the Cross Listed Index gained 0.05 points to close at 84.76.
IC bid-offer Indicator| The Investor’s Choice bid-offer ended with 5 stocks with bids higher than last selling prices and 6 with lower offers.
Gains| Ansa McAL gained 1 cent to close at $66.01 exchanging 100 shares, NCB Financial Group closed at a 52 weeks’ high of $4.06, gaining 5 cents in trading 5,000 shares and Trinidad & Tobago NGL traded 25 cents higher, closing at $21.50 with 6,575 units changing hands.
Losses| Clico Investment closed at $22.50, losing 1 cent with an exchange of 52,500 shares valued at $1,181,252 and Scotia Investments traded 32 cents lower to close at $2.13, with 2,300 units changing hands, with the price coming closer to the price of J$38 approximately TT$2 being offered by Scotia Group.
Firm Trades| First Citizens exchanged 311 shares at $31.65 and JMMB Group closed at $1.26, with 2,060 units trading.
Big gains for 2016 IPOS
Initial Public listings have been very popular in the Jamaican stock market. Most of them enjoyed strong gains within a few years of issue.
Investors have bought heavily into most of the issues resulting in most closing on the first day of the issue.
No doubt investors will be avidly awaiting issues to come in the second half of this year. Expecting this week is Productivity Business Solution IPO should be available of subscription in the first week of July and Express Catering should be coming pretty soon as well.
A series of others should be following later in 2017 and in 2018 with Stationery and Supplies expected to follow shortly after the above two, as they iron out a few issues before coming to market, while UCC Online still has issues to resolve. Others that have been recently mentioned publicly and a few that have not yet made public statements, should add to the excitement when they do make it and swell the choices available in the market for ongoing investment.
How have recent IPOS done since listing? Stocks sold to the publish and listed since the start of 2016 had mixed fortunes, with startup entities delivering little gains with one trading lower than the IPO price but four have gained 200 percent or more including one with more than 1,000 percent, one rising 64 percent and one with 34 percent, up to last Friday.
Little known micro finance company, ISP Finance gained a stunning 1,100 percent, since listing in March 2016. Pre-owned car dealer, Jetcon Corporation is up with gains of 687 percent since March last year with information technology, company tTech coming in with gains of 220 percent.
Portland JSX Fund lost 18 percent, while start up general insurance company, Iron Rock is up just 7 percent. All stocks traded at higher prices than the closing ones on Friday.
Ansa’s Berger T&T holdings to hit 81%
Trinidad based conglomerate, ANSA McAL is set to acquire an additional 9.7 percent of Berger Paints in Trinidad. The acquisition if concluded, will give the group just under 81 percent of the company.
The group through subsidiary, ANSA Coatings International, through an International Business Company established in St Lucia, entered into a Share Purchase Agreement with Chan Ramlal Limited for the acquisition of 500,000 shares in Berger T&T, a release to the Trinidad & Tobago Stock Exchange stated. The ANSA McAL group already holds, 60,606 ordinary shares representing 1.17 percent in Berger.
On 16th June, 2017, ANSA McAL entered into a Share Purchase Agreement with Berger International Private for the acquisition of all of the 1,869,805 ordinary shares in Lewis Berger (Overseas Holdings). Lewis Berger owns 3,613,011 ordinary shares in Berger Trinidad, representing 70 percent of the shareholding, 100 percent of the 376,000 equity shares, of Berger Paints Barbados and 109,332,222 ordinary shares, representing 51 percent of the shareholding of Berger Paints Jamaica.