Aug 2010 Financial News

Lasco aims to raise $400m through 3 listings on junior exchange

Aug 04, 2010

LASCO plans to reorganise and list three separate affiliated companies on the Jamaica Stock Exchange (JSE) Junior Market, to raise in excess of $400 million from the listing, says Lasco executive chairman Lascelles Chin.

The funds generated from an initial public offer (IPO) is to be used to build new manufacturing facilities, increase its product offerings and support its expansion thrust into other geographical markets.

"All funds raised will be used for future expansion and support of the strategic plans," saide Chin in a press statement issued yesterday.

The three entities are Lasco Distributors Ltd, Lasco Manufacturing Ltd and Lasco Financial Services Ltd.

Chin explained that the reorganisation of these companies would result in greater operational efficiency, and allow the companies to raise additional financing through equity, thereby allowing Lasco (via Lasco Manufacturing's export arm, the newly created International Division) to establish its presence in the African markets, expand its European markets, and increase its presence in North America and Latin America.

"We are also putting all measures in place to leverage our large distribution network to further penetrate the local, regional and international markets in increased multiple categories," said Chin.

Prior to the reorganisation Lasco consisted of eight small or medium-sized entities, and now the company has five -- three of which will be listed.


Source:
Jamaica Observer
Wednesday August 4, 2010

http://www.jamaicaobserver.com/business/Lasco-aims-to-raise-400m-through-3-listings-on-junior-exchange