Sygnus Credit Investments Limited has announced its dual currency Cumulative Redeemable Preference Share offer of US$20 million and J$800 million, across three classes of preference shares.
The public is invited to subscribe for the preference shares, which opens on Monday, November 20, 2023. The offer closes on Wednesday, December 6, 2023, at 4:30 pm.
SCI says it intends to list the preference shares on the Jamaica Stock Exchange following the close of the offer.
Sygnus Capital Limited is the lead arranger and JMMB Securities Limited is the lead broker and co-arranger of this offer.
Allocations of the Cumulative Redeemable Preference Shares will be determined based on the time of receipt of the subscription, on a first-come-first-served basis. Early subscriptions will also be accepted. The three classes available in the offering are as follows:
|CLASS||NO. OF SHARES||PRICE PER SHARE||DIVIDEND YIELD||TERM||DOLLAR VALUE OF SHARES|
Jason Morris, chief investment officer and executive vice-president of Sygnus, in explaining the purpose of the funds, noted: “SCI continues its transformative growth path, aggressively expanding its private credit portfolio to scale the business and achieve its strategic goals. As part of this evolution, the company is dedicated to leading and participating in private credit transactions of at least US$1 billion across the Caribbean over the next three years. To help facilitate this growth, SCI is seeking to raise US$20 million and J$800 million via preference shares, particularly dedicated to financing more than US$75 million in private credit opportunities across Jamaica. Simultaneously, SCI has advanced its discussions with international partners for US$100 million to finance over US$150 million of opportunities across Jamaica and the wider Caribbean region. SCI remains committed to shareholder value creation as the business continues its rapid expansion.”
Karl Townsend, JMMB’s chief country officer (Jamaica), Capital Markets Unit, added: “JMMBSL is excited to partner with SCI to provide investors with an attractive opportunity that will see them being able to take advantage of steady cashflow and above average returns, while giving them exposure to a diversified portfolio. JMMBSL, as the largest retail broker is keen on making this offer available to its clients and now non-clients can also use our online platform, JMMB Moneyline, to participate in this offer.”
SCI ended its 2022/2023 financial year on a high note, reporting a solid performance. The company reported record total investment income of US$8.89 million, record net profits of US$5.13 million and growth in its private credit portfolio beyond the US$150.0 million threshold. The company’s earnings per share was up 33.9 per cent to US$0.87 cents while total assets were up 19.8 per cent to a record US$163.86 million.
SCI’s core revenues, or total investment income, grew by 7.8 per cent or US$6,407,000 to a record US$8.89 million for FYE June 2023. The group paid US$2.55 million (US$0.00431 per share) in dividends during FYE June 2023, bringing total dividends paid since SCI’s initial public offering in October 2018 to US$10.35 million, or 17.0 per cent of its share capital.
Beginning operations in July 2017, SCI is the largest listed private credit investment management company spanning the English, Dutch, and Spanish-speaking Caribbean territories.
All applications should be made on JMMB’s Moneyline platform. SCI reminds investors who are interested in subscribing for the preference shares to read the full terms and conditions of the Invitation outlined in the Prospectus, which is currently available on the JSE website at www.jamstockex.com and at https://sygnusgroup.com/.