Durrant Pate/Contributor

The extension of the Jamaica manufacturing conglomerate Seprod Limited’s Take-Over Bid for additional equity in Trinidad manufacturing group, AS Bryden & Sons Holding (ASBH), has expired.

The extension, which was effected last week to allow further time for shareholders of ASBH to participate in the offer, expired at 8:00 am today. The initial offer period expired on June 5, but was extended to today.

Seprod is seeking to acquire up to 447,491,012 additional ordinary shares in its ASBH subsidiary, representing a 29.85% equity position. The price payable to ASBH shareholders that accept the offer is newly issued ordinary shares in Seprod at a rate of 396 ordinary shares in Seprod per 1,000 ordinary shares of ASBH. 

Seprod plans to issue up to 177,398,223 new ordinary shares and, as a result, increase its equity position in ASBH from 50.14% to 79.99%.  By stopping short of the 80% threshold, Seprod is ensuring that ASBH meets Jamaica Stock Exchange (JSE) regulatory requirements that at least 100 shareholders own 20% of the company and no single shareholder owns more than 80% for it to be a publicly traded entity.

If the offer is successful, Seprod intends to further integrate ASBH to enhance the consolidated entity’s combined operations and financial performance. Seprod has no plans to sell, liquidate, exchange or otherwise alter any material amount of ASBH’s assets or alter the general business of the company. 

It wants to better align both companies and generate greater synergies as the two businesses are integrated. The collaboration between Seprod and ASBH is intended to allow principals and customers to benefit from a regionally integrated distribution platform. 

The lead broker with respect to this Take-Over offer is Republic Wealth Management Limited at 8 Rapsey Street, Ellerslie Plaza, Maraval, Trinidad and Tobago. If this offer is successful, Seprod intends to maintain ASBH as a listed company on the JSE and intends to cause ASBH to make an application to the Trinidad and Tobago Stock Exchange to list its ordinary shares on that market. 

Seprod first acquired a 60% stake in ASBH in June 2022 for J$7.11 billion through a mixture of debt and preference shares issued to the former owners.