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Financial News

Jun 2011 Financial News

Proven eyes July 14 listing. NCB Capital Markets appointed as lead broker.

Jun 08, 2011

PROVEN Investments is seeking to list by way of introduction some 300 million shares on the Jamaica Stock Exchange (JSE) on July 14 with NCB Capital Markets as lead brokers.

Proven CEO Christopher Williams told the Business Observer yesterday that an application with the request will be sent for regulatory approval within the next seven days. The firm is expected to list at book value, which is in the region of US$0.11.

Introductory listings do not involve an initial public offer, which means Proven will not be raising new capital. NCB Capital Markets which has participated in several other Proven initiatives, including the firm's acquisition of Guardian Asset Management last year — will manage the application process and streamline applications for the shares once they are listed.

"The NCB Capital Markets team is an aggressive team that we feel has the competence to make a market for our ordinary shares," Williams said.

"NCB has been our bankers from day one and they continue to work with us on all our acquisitions and our capital structure," noted the Proven CEO, who is a former managing director of NCB Capital Markets.

Proven is obliged in the listing process to publish an abridged statement of its financials in the newspapers. Provided that the stock exchange approves the listing, interested individuals can access the shares via their preferred broker.

NCB Capital Markets, among the options for persons wishing to purchase shares, trumpeted its lead broker status as well deserving.

"It's fair to say that we have a solid track record in equity issues going back a number of years and our record, when it comes to execution, is excellent," NCB Capital Markets assistant vice-president of corporate solutions Dylan Coke told this newspaper.

"We have the broadest reach of any broker in the island, we have a solid research team that can provide in-depth analysis of anything out there and beyond that, in terms of offerings of all types of securities, we are a major player in the private placement market," he added.

NCB Capital Markets handled the listing of Supreme Ventures in the mid-2000s and was most recently the lead broker on the listing of the JSE on its own exchange, unprecedented in the region at the time.

The listing of Proven's shares will also be unique as no company in recent memory has come into the market with a US dollar issue or without seeking to access capital.

NCB Capital Markets vice-president of sales and client services Vernon James told the Business Observer that he "... is excited about the offer and what it represents to the investing public".

"We think Proven is an emerging story and presents a good value proposition to investors at this time," he said.

Proven last week reported net profits of US$6.6 million for the 13-month ending March 31, 2011, its first year of operations.

The firm's board approved a final dividend payment of US$1.4 million or US$0.0050 per share to ordinary shareholders, which represents a tax-free dividend yield of 8.67 per cent for the period.


Source:
BY JULIAN RICHARDSON
richardsonj@jamaicaobserver.com
Assistant business coordinator
Jamaica Observer
Wednesday June 8, 2011

http://www.jamaicaobserver.com/business/Proven-eyes-July-14-listing_8978513#ixzz1OhJbz2eu