Wednesday, October 23, 2013
Sagicor Real Estate X Fund IPO oversubscribed
Sagicor Real Estate X Fund IPO was oversubscribed by five hundred million dollars after the offer closed last Friday.
The IPO received 1,357 applications totalling $1.5 Billion. X Fund through the IPO set out to raise at least J$1 billion through the listing of 20 per cent of X Fund’s shares. The initial public offering (IPO) was priced at $5 a share.
Richard Byles, president and CEO of Sagicor Life Jamaica said “Investors have responded well to this excellent opportunity to invest in prime real estate and foreign exchange earning hotel properties without the myriad of responsibilities that comes with individual property ownership.”
The funds raised will be used to develop a water park at the company’s Jewel Runaway Bay Beach & Golf Resort property and to position the company for future investment opportunities.
Rohan Miller, Executive Vice President, Treasury and Asset Management and Chief Investment Officer at Sagicor Life said “We are excited about the future of real estate and the development of a world class water park at Jewel Runaway Bay; leading ultimately to considerable growth for our investors.”
Sagicor Real Estate X Fund is the first of its kind on the Jamaica Stock Exchange (JSE). The negotiated shares are scheduled to be listed on the main market within 30 days with the listed entity to be valued at over $7 billion.
Sagicor’s real estate holdings are primarily comprised of tourism, industrial/warehouse and office/retail properties. The firm owns two other hotels under the award-winning Jewel brand; one each at Dunn’s River and Paradise Cove in St. Ann. The other properties are the R Danny Williams building in New Kingston; Sagicor Industrial Park Norman Road; Sagicor Industrial Park Freeport; Sagicor Industrial Park Marcus Garvey Drive; Sagicor Montego Bay Commercial Centre; the Sagicor SIGMA building on Knutsford Boulevard, New Kingston; 78A Hagley Park Road, Kingston; Spanish Town Shopping Centre; and a vacant lot on Seymour Avenue, Kingston.
X Fund will pay dividend to its shareholders based on its net income derived from its investment in the Sigma Real Estate portfolio.
Sagicor Life Jamaica Limited is the leading life insurance provider in Jamaica. The Company commenced operations in 1970 as Life of Jamaica Limited, the first locally owned life insurance company and the first life insurance company to be listed on the JSE. Since its inception, Sagicor Life has gained a solid reputation as an innovator and leader in the Caribbean life insurance industry. The Company continues to be the market leader among local life insurance companies.
at 10:10 AM