Bought 24.33 million shares in Eppley Caribbean Property Fund Limited

Durrant Pate/Contributor

Eppley Fund Managers Limited (EFM) now owns 45.04 per cent of Eppley Caribbean Property Fund Limited SCC – Development Fund, having successfully closed its tender offer for additional shares in the fund.

The offer, which was opened on January 27, 2023 and closed on Monday, saw EFM buying 24,335,503 shares in Eppley Caribbean Property Fund Limited SCC, which currently trades on the Barbados and Trinidad and Tobago Stock Exchanges. The offer by EFM has been made in accordance with Barbados’ takeover regulations.

The 24.33 million shares were deposited in response to EFM’s offer to purchase at a cash price of $0.21 Barbados currency per share. EFM has agreed to take up and purchase all deposited shares.

Increases EFM’s equity holding

If the tender and acceptance of all Development Fund shares is confirmed by the Barbados Stock Exchange as expected, EFM will own 45.04 per cent of its shares. The Development Fund is a separate and distinct segregated cell from the Eppley Caribbean Property Fund Limited SCC – Value Fund, which currently trades on the Jamaica Stock Exchange.

Under the terms of the tender offer, EFM, which is the investment manager of the development fund offered to purchase a minimum of 20 per cent and up to a maximum of 60 per cent of the Development Fund shares. At the time of the offer, the price of $0.21 Barbados currency per share represented a 24 per cent premium to the last traded share price previous to the offer of $0.17 Barbados currency and a 34 per cent premium to the average share price of the shares over the last 12 months.

In speaking about the tender offer, Justin Nam, Eppley’s general manager, had explained: “Eppley’s offer to purchase a large volume of development fund shares at a significant premium will provide the market with liquidity and unlock significant value for our shareholders. The tender offer demonstrates Eppley’s confidence in the underlying value of the development fund’s assets. Finally, it highlights Eppley’s commitment to use all of its resources to drive shareholder returns across all of its investment platforms.”