Proceeds of the equity raise will be used to fund strategic growth objectives
Regional information technology firm Productive Business Solutions (PBS) is seeking to raise J$3 billion in a two-tranche preference share offer, set to open this Friday (August 12).
The preference share offer is for one million Perpetual Cumulative Redeemable 9.25 per cent Fixed Rate US$ Preference Share at a fixed price of US$10.00 per share to raise US$10 million.
In addition, the company is floating 150,000 Perpetual Cumulative Redeemable 10.50 per cent Fixed Rate J$ Preference Shares at a fixed price of J$1,000 per share. However, the company has the option to upsize the US$ preference share tranche to US$15 million by offering an additional amount of 500,000 preference share and by an additional 150,000 Fixed Rate J$ Preference Shares to upsize that offer.
The offer is slated to close on September 9, 2022. In 2021, PBS, which is incorporated in Barbados and trades on the Jamaica Stock Exchange, recorded the highest revenues and net profit in its 20-year history.
Use of Proceeds
The proceeds of the offer will be used to fund the company’s strategic growth objectives and opportunities including acquisitions and expansions into new territories. The Board of Directors of the company intends to consider and declare dividends quarterly.
The Directors intend to consider the payment of dividends in the first instance for the period commencing on the issue date of the Preference Shares and ending September 30, 2022 and thereafter each three-month period expiring on September 30, December 31, March 31 and July 30 in each year. Dividends on the 10.50 per cent Fixed Rate J$ Preference Shares will be paid in J$.
PBS is the leading enterprise technology company in the Caribbean and Central America Company and is a subsidiary of Facey Group Limited, a company incorporated in Barbados under the Companies Act. The company is a member of the Musson Group, a privately-owned Jamaican holding company controlled by businessman, Paul B. Scott and his family.
PBS operates in 19 countries, employs more than 2,000 information technology professionals and generates revenue in excess of US$220 million. The company represents over 100 leading global technology brands seeking to do business in the Caribbean and Central America, including Apple, Akamai, Cisco, Dell, Fortinet, HP, IBM, Leidos, Microsoft, NCR, Oracle, Quadient and Xerox.
Leading institutional clients throughout the region, including banks, retailers, telecoms, energy companies and governments trust PBS to provide mission critical enterprise information technology solutions.
PBS offers these clients a range of information technology, networking, printing and security products and services. PBS generates revenues from these activities which are mostly in hard currency and diversified geographically and by product.