Scotia Group, after listing on the Jamaica Stock Exchange since 1967, is now slated to be taken private at a buyout price of $61.50, the Group announced today.
The group reports that, based on the unanimous recommendation of a committee of independent directors of the board of directors of SGJL, it has entered into a definitive arrangement agreement with its majority shareholder, Scotiabank Caribbean Holdings Limited to take SGJL private whereby, among other things, all of the issued and outstanding shares of SGJL that SCHL does not currently own will be repurchased for $61.50 in cash per share, subject to court approval as well as the approval of SGJL’s minority shareholders.
Scotia Group released results for the year to April, with profit of $5.96 billion, up from $5 billion last year for the April quarter and $10 billion for the year to date, versus $9.2 billion in 2025. Earnings per share came in at $1.92 for the latest quarter and $3.24 for the year to date. The offer price is only 8 times the current year’s earnings, which undervalues the shares. There was also an announcement of a dividend of 45 cents per share to be paid in July.
Inflows climbed of 4.1 per cent to US$856 million or an increase of $33.5 million for January to March period this year, over the corresponding period of 2025 that enjoyed inflows of US$822.5 million.
The April numbers represent an improvement over the 25.7 percent fall in March, this year, as well as for the year to date, with a decline for the three months to March of 31 percent. The numbers represent incoming and outgoing passengers and locally based Jamaicans, although not the actual number of tourist traffic, the data provides an accurate proxy for the sector’s performance. Data collated by the Jamaica Tourist Board on the industry are unfortunately only released to the public several months in arrears.
Management indicated that “increased commuter traffic across the network was one area that contributed to the growth in revenues.
A number of companies suffered from a loss in revenues during the final quarter of 2026, following the passage of the hurricane. Others faced continued revenue pressure from the critical tourist sector that recorded sharp decline in visitor arrivals in the first quarter of 2026 and probably for a longer period.
Underperformers stock or the quarter was In Junior Market was Kintyre Holdings, which fell 46 percent, having ran up to 70 cents at the end up 2026, faced heavy selling in the quarter, as buyers reduced the price they were prepared to buy the stock at. Iron Rock Insurance declined by 29 percent, with investors concerned about the impact the hurricane would have on underwriting margin as well as concerns on the investment portfolio performance with lower interest rates in the country. Paramount Trading dropped 19 percent, reflecting some profit taking after the stock ran up in 2025 based on improved half year results but much lower second quarter profits compared with the first quarter as sales suffered with the interruption caused by Hurricane Melissa. Main Event shed 16 percent, with Hurricane Melissa shattering an already pressured operation that was passing through a period of reduced revenues resulting in a small loss for 2025 coming out of a year of uncertain economic outturn leading up to the general elections in 2025.
The JSE Market Index rose 8.83 percent from 317,986.88 at the close of December 2025, to 346,079.71 at the end of March, this year, compared with a fall of 1.7 percent in 2025 for the same period.
On the losing side, Proven Investments (PRVN) declined 22 percent, weighed down by increased cost that resulted in a small loss in the December quarter and sharply reduced profit for the nine months versus the similar period in 2025. Mayberry Group (MBG) fell 21 percent, reflecting losses from the performance of its underlying equity holdings and a small loss on net interest income in 2025. Caribbean Producers Jamaica (CPJ) and Mayberry Jamaica Equities (MBJ) each declined 17 percent, with CPJ facing headwinds from mixed results for 2025 and reduction in visitor arrivals to the country that will affect sales and profit negatively in 2026, as the bulk of revenues come from that sector. Losses at MBJ ballooned sharply for 2025 due mainly to fall in market value of investments. Palace Amusement dropped 16 percent, with the company posting losses for the half year to December and continues to face challenges with returning to patronage at the pre COVID levels. Supreme Ventures (SVL) retreated 14 percent, as profits declined in 2025 and the gaming market faces increased competition, while concerns over gaming revenue sustainability also weighed on sentiment.
In 2025 total inflows to the country rose by 3.84 percent to US$3.486 sit just under the record haul of US$3.497 billion in 2021. This year’s increase is lower than the 5.7 percent rise for January last year, 5.6 percent in May, 14.3 percent in November and 12.1 percent in December of 2025.