Jun 2011 Financial News

Junior Market welcomes ninth member. Listing ceremony held for Honey Bun.

Jun 06, 2011

Honey Bun became the ninth company to list on the Junior Market of the Jamaica Stock Exchange (JSE) on Friday, June 3.

The listing was witnessed by members of the JSE, Honey Bun and Mayberry Investments Limited (MIL), lead brokers of the initial public offer (IPO).

Honey Bun began trading at $3.45, jumping by the allowable 15 per cent above the $3.00 offer price on the first day of trading on the Exchange.

Michelle Chong, CEO, Honey Bun thanked the investors for the interest in Honey Bun and promised that the company would continue to 'raise the bar'.

Chong also commended the Government of Jamaica with "providing the opportunity for small and medium sized companies this special opportunity to grow our business."

The company raised $51 million in equity investments from the initial public offer (IPO) in May through the issue of 18,750,000 ordinary shares at the invitation price of $3 per share.

The listing on the Junior Market provides a 10 year tax credit if the company remains listed for 15 years. Chong noted that the 10 year tax break would contribute to the Junior Market companies growing their business by reinvesting the profits and through the accountability framework that is a necessary part of the listing process.

"What we may not easily recognise is the opportunity for these companies to also grow in corporate governance through mentorship and the value this serves our country," she said. "This has far reaching value since all of us as leaders will guide our employees and involve them in the standards of doing business, manufacturing and production, towards the improvement of a better workforce within our country."

Chong also used the opportunity to encourage other manufacturers to take advantage of the opportunities staring them in the face.


Source:
Jamaica Observer
Sunday June 5, 2011

http://www.jamaicaobserver.com/business/Junior-Market-welcomes-ninth-member_8956543#ixzz1OW7KNoTL