Jul 2015 Financial News

TCL to be delisted from three stock exchanges

Jul 22, 2015

LOCAL producer Trinidad Cement Ltd (TCL) will delist from the Barbados Stock Exchange (BSE), the Guyana Association of Securities Companies, and the Eastern Caribbean Securities Exchange.

TCL chairman Wilfred Espinet made the announcement on Monday evening at the company's annual general meeting (AGM) at the Hilton Trinidad.

Mexican cement maker Cemex is now TCL's single largest shareholder, and was a signatory to an April 23 Technical and Managerial Services Agreement. Jose Luis Seijo catapulted to the position of group chief executive officer (CEO) on May 4 under the agreement.

Seijo is Cemex's former head of strategic and financial planning for Spain and the Mediterranean region.

Espinet also introduced other executives appointed under the Cemex agreement to the AGM.

Before asking the AGM for approval to delist the company, Espinet said little or no trading of the company's shares takes place on those exchanges yet the company still incurs listing costs.

TCL remains listed on the Trinidad and Tobago Stock Exchange (TTSE) and the Jamaica Stock Exchange.

New TCL CEO Seijo shared his ambitious plans for the company and refuted statements that TCL “will not make it”.

He said TCL will make it because the most difficult part of restructuring the company was now behind it.

TCL completed its debt restructuring in May, after the company missed its debt service payments in September 2014.

Debt restructuring included an 11 per cent debt prepayment discount and a US$15 million cash prepayment, which reduced the company's outstanding debt to US$245 million in May 2015 from about US$292 million at the end of 2014.

“How are we planning to repay the loan? By working very hard,” Seijo said. The CEO said he was focusing on the basics: increasing revenue; reducing costs; and strengthening the company's financial position.

TCL will now expand beyond cement manufacturing to offer “oil well cement; concrete roads; social housing solutions; and synergies with customers,” he said.

Siejo said there are six avenues on his strategic agenda: shareholders; customers; solutions; financials; people; and operations. Seijo said TCL needs to “evolve to a customer-oriented organisation” by “helping our clients succeed by delivering”.

Saying he wants to bring efficiencies to the highest level, Seijo added, “We have been underperforming for the longest time.” He said he sees TCL “pushing for alternative fuels” and being very “disciplined controlling costs”.

He said he wants TCL workers to be fully engaged and motivated.

“What I keep telling the guys is that if we take care of TCL, TCL will take care of us,” he said, which rang similar to his: “If we don't take care of our customers, someone else will.”

Re-elected to the new TCL board were chairman Espinet, Christopher Dehring, Nigel Edwards, and Francisco Aguilera. New directors elected were former senate president Timothy Hamel-Smith, Ruben McSween, Jose Bavaro and Bryan Ramsumair.

 

Source:
By Aleem Khan
Trinidad Express
Wednesday July 22, 2015

http://www.trinidadexpress.com/20150721/business/tcl-to-be-delisted-from-three-stock-exchanges