Guardian Holdings to relist on JSE Wednesday

Shares of the Trinidad based and NCB majority owned Guardian Holding shares set to be relisted on the Jamaica Stock Exchange (JSE) on Wednesday after an absence from the exchange since 2013.
The application for listing the shares was made to the JSE with the company publishing an abridged financial statement in accordance with the listing requirements of the Jamaica Stock Exchange dated 24th of March.
The company has in issue only 232,024,923 ordinary shares, with NCB Financial holding just under 62 percent thereof. Liquidity will be constrained, as such the directors would be well advised to split the stocks to bring the issued numbers to around 3 billion units and therefore ensure greater opportunity for sustained liquidity.
The move to relist is in keeping with an report in 2015 when NCB and Proven Investments were jointly pursuing the acquisition of app 36 percent more of GHL shares. Proven eventually backed out and NCB made a bid to acquire an additional 30 percent.
Guardian Holdings reported increased profit for the year ended December 2020 with profit attributable to shareholders rising 12 percent to $774 million from $692 million in 2019, with earnings per share of $3.34 versus $2.98 in the prior year.
Net income from insurance underwriting activities increased to $1,413 million, a 47 percent rise over the $959 million reported in 2019 the company reported. Net income from Investing Activities declined 28 percent from $1,370 million to $989 million. The Group result in 2020 was not adversely affected by catastrophes as was the case in 2019, the directors informed the shareholders. Gross Written Premiums increased from $6,367 million to $6,557 million or 3 percent.
Total Assets rose to TT$33 billion and shareholders equity stood at TT$4.7 billion.
The company reported that new accounting standards to be implemented in 2023 will result in significant changes to the financial statements of all insurers and will change how insurers are managed. It will necessitate ­e collection of significantly more information for the construction of financial statements. While the company states that they are well on the way to be compliant, it did not state what the likely impact will be on earnings.
Guardian Holdings last traded on the Trinidad and Tobago Stock Exchange at TT$25.51 or J$586 with a PE ratio around 6.5, 2021 earnings.

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