(KINGSTON, July 5, 2011): The Jamaica Stock Exchange unveiled its newest market, the US Denominated Equities Market. This Market will allow companies to list their shares in US dollars and also allow for trading and settlement to take place in US dollar. This is a first in the English Caribbean.
Mr. Donavon Perkins, the new Chairman of the JSE, in his welcome, told the audience that “over the last 18 months, the Exchange has been in the news and it has been all good. We’ve added 10 new companies to the Market and for the most part, shareholders participating in these new listed companies on the exchange have seen share prices which have risen significantly. We need more success stories for our economy”.
He went on to state that, the Jamaica Stock Exchange continues to play an important role in assisting with the development of other Capital Market and has helped to steer investment dollars; into new industry segments within manufacturing, tourism, services, trading and distribution. These projects have:
ü Created many new jobs
ü Allow companies to emerge with stronger equity base
ü Laid a foundation to broaden the income tax base
ü Enabled investors who participated in these IPOs, along with the original shareholders to have market mechanisms to realize capital gains, enjoy dividend flows equitably and have greater liquidity for their investment.
This initiative [new market] has the potential to further expand our market, and its listings and will provide additional investment options for persons interested in diversifying their portfolios via our Exchange.
Mrs. Marlene Street Forrest, General Manager, JSE, told the audience that “over the years and up to 2009, we have operated one market which we now refer to as the JSE Main Market. This is because in 2009 we launched the JSE Junior Market; a market we felt was necessary in order to attract more companies to list on the Exchange and to provide small and medium sized companies with an alternative option for financing their businesses and by extension another option for investors to invest. It really is all about providing more choices to our constituents”. We believe that we must continue to listen to the voices in the market place and increase their options. Consequently, the JSE Group comprised of the JSE and the JCSD have developed the JSE US$ Denominated Equities Market in order to facilitate the companies who wish to list their US$ denominated shares for trading and settlement in United States dollae. Again we will be making history as the first Exchange in the region to establish this market.
How this market will work is that the normal rules of the Exchange will govern trading in the securities listed on the Exchange. Similar to the other markets, settlement will be done at T+3 and daily information will be disseminated on the activities of this market through the usual channels inclusive of our website.
Mr. Johann Heaven, VP Investments, PROVEN, told the audience that PROVEN was happy to be the first company that will be listed on the US Denominated Equities Market. This listing will take place on July 14, 2011 at the Stock Exchange and the listing price of the PROVEN shares will be US$0.112. He went on to state that Proven Market Capitalization was in the region of US$35M. He saw the listing of Proven Investments Limited as an opportunity for investors to buy into PROVEN’s balance sheet, vision and profitability. He thanked the JSE for allowing the Company the opportunity to list on the US Denominated Market.
