The Jamaica Stock Exchange (JSE) today (February 18) welcomed its first two listings on its Private Market in which Guardian Group listed in total $7 billion in fixed rate unsecured notes.

Marlene Street Forrest, managing director of the JSE, in her welcome, was ecstatic as she told the audience of eight persons on location and the specially invited stakeholders online that today has been eagerly anticipated by the JSE ever since the equities regulator launched the Private Market on January 11.

“We have indeed broken a record on this one,” said Street Forrest.

“Usually we launch our markets in anticipation of our first listings within a few months after launch. We are thankful and grateful that just over a month of launching this market, NCB Capital Markets Ltd has brought our first two listings.”

She congratulated Guardian Holdings Limited on listing its Tranche B 6.5 per cent with value of $1.99 billion and Tranche D with value of $5 billion 7 per cent bonds for a combined value of $6.99 billion on the JSE Private Market. 

Commenting on the Private Market, Street Forrest noted that,“this market will provide investors with the opportunity to list bonds and equity securities that are in accordance with the ‘FSC (Financial Services Commission) Guidelines for Exempt Distribution’.

“Consistent with this requirement, issuers of securities in the private market must first be registered with the FSC, in accordance with these guidelines for securities to be considered for private listing on the JSE Private Market.”

Guardian pleased with today’s listing

Eric Hosin, president of Guardian Life Limited, who also spoke at the listing ceremony, remarked: “We are pleased that we went to the market seeking $13 billion and received the support and funding we needed. This sends a strong signal that the Guardian brand is strong, and investors have the confidence in us to know that we will deliver the returns promised to them.”

He noted that, “the transaction was quite large and featured five tranches. Today, however, we have decided to list two tranches of the Bond, GHL Tranche B 6.50 per cent Unsecured Notes Due 2025 and the GHL Tranche D 7.00 per cent Unsecured Notes Due 2027.

“These two tranches alone account for 54 per cent of the total raised and will result in the listing of bonds with a total nominal amount of $7 million. This was deliberate as the higher outstanding amount promotes room for greater liquidity in trading.”

In his closing remarks, Herbert Hall, vice president, investment banking, NCB Capital Markets Limited, highlighted NCB Capital Markets’ journey to develop the capital markets space and said “as arrangers of the J$13.4B Guardian Holdings Bond, a part of which is being listed today, NCB Capital Markets is proud to be associated with this historic move.”

He reiterated that this listing now joins NCB Cap Markets list of firsts, which include:

• First company to support the Jamaica Social Stock Exchange when we last year around this time in collaboration with the NCB Foundation pledged J$7M to Deaf Can Barista to aid the business efforts and create employment opportunities for members of the deaf community.
• Arranging and brokering Jamaica’s largest Initial Public Offer – a record we ourselves bested last year with TransJamaican Highway Limited
• Creating GoIPO – Jamaica premiere, fully digital IPO application system enabling investors locally and abroad to participate in the wealth building strategies championed by the JSE.

The JSE highlighted the fact that this is another platform which the equities regulator, in its usual manner, ensures it regulates in keeping with the country’s regulations and is benchmarked to international standards.