May 2012 Financial News

Stock exchange to delist Neal and Massy’s BS&T

May 24, 2012

The T&T Stock Exchange will be delisting the Barbados Shipping and Trading Company Ltd (BS&T), a subsidiary of Neal and Massy Holdings Ltd (N&M). N&M launched a heavy campaign against conglomerate ANSA McAL Ltd to acquire BS&T in May 2007. In a statement issued yesterday, the T&TSE said BS&T will be delisted from the stock exchange effective Monday.

The statement said that pursuant to an order of the Securities and Exchange Commission (SEC) dated April 27, 2012, made under section 45 of the Securities Industry Act, 1995, BS&T. “The order was granted pursuant to an application for de-listing made by the exchange, in administering its responsibility to the investing public,” read the TTSE statement.

As of yesterday, BS&T shares were traded at $35.11. Attempts yesterday to contact Arthur Lok Jack, chairman of N&M and Gervase Warner, Group chief executive officer, were unsuccessful. Warner’s administrative assistant said at 3.21 pm yesterday he was on a conference call and couldn’t come to the phone. Messages left on their mobiles seeking a comment on the delisting were not returned.

According to N&M’s 2011 annual report, the Barbados economy recorded only a modest one per cent growth despite higher tourist arrivals. “The fall in actual spending by tourists meant that there has been no real growth in the foreign exchange reserves in the country. The government’s efforts to counter the fiscal deficits by increasing value added tax in 2010 did not yield the desired result.

Last month Ralph Taylor, chief executive officer of Almond Resorts, said Almond Beach Village, another N&My subsidiary, will close April 30 amidst “the deteriorating quality of the product.” N&M chairman Lok Jack indicated this in the T&T-based conglomerate’s 2011 annual report. “Given the uncertainty of the world economic environment and the significant investments necessary to upgrade the hotels in Barbados and St Lucia, the Group took the decision to substantially dispose of its investments in Almond Resorts Incorporated and its associated hotels.”

Present N&M CEO Warner said Almond Resorts expanded from two to five hotels under management, adding: “That was a big stretch for the management team and...those hotels opened into the worst tourist season Barbados has seen, even worse than after 9/11.”


Source:
Sandra Chouthi
Trinidad Guardian
Thursday May 24, 2012

http://www.guardian.co.tt/business/2012-05-24/stock-exchange-delist-neal-and-massy%E2%80%99s-bst