During its annual general meeting, JMMB Group received an unanimous vote from the majority of it’s shareholders in attendance, and those voting by proxy, for the resolution to issue an additional 325M (325,000,000) JMMB Group Limited (JMMBGL) ordinary shares, at a future date to be determined by the company.
The proposed offer is consistent with JMMBGL’s growth strategy, and will permit the JMMB Group of companies to continue its organic expansion and diversification, through investment in other entities, whether by acquisitions or strategic investments. The proceeds from the proposed offer will provide the company, and the rest of the JMMB Group of companies, with greater financial flexibility to quickly take advantage of changing economic, regulatory and market conditions.
JMMBGL expects to announce the timing and the pricing of the proposed offer within the coming weeks, with the offer expected to be launched during the last quarter of 2019, subject to all regulatory approvals being obtained, and to prevailing market conditions. The details of the offer will be contained in a published prospectus,upon the requisite regulatory approvals.
JMMB Group’s Strategic Direction
The JMMB Group, in sharing about its strategic plans, highlighted there would be greater focus on consolidating its operations across the region, through standardization of technology, processes and procedures to extract greater synergies and maximize efficiencies. As part of this process, the Group will also implement centralized operations and support services for key support functions, to drive greater productivity.
Keith Duncan, JMMB Group CEO,further said that the company’s plan would also include new business lines, segments and acquisitions; even as it deepened its presence in the current markets in which it operates, to drive revenue.
Small and medium-sized enterprises (SME) was one of the new segments that the Group indicted that it would target, in a more deliberate way. In underscoring the importance of the sector, Duncan noted that SMEs are a significant contributor to gross domestic product (GDP), providing 70-80% of employment in Jamaica; yet, according to 2018 data, MSMEs only attracted approximately 11% of private sector credit. It is against this background that JMMB Group is seeking to fill the current gaps that exist for the growth of this segment.