Portland JSX share offer oversubscribed 23%
The initial public offering of shares in Portland JSX Limited has been oversubscribed by 23.5 per cent.
The offer at $11 per share ended up raising $1.52 billion, said lead broker VM Wealth Management. Initially, the IPO was priced to raise $1.23 billion, but it was upsized to during the June 8-22 subscription period to meet demand.
As a result of the "bumper response", Portland JSX is now the biggest IPO ever for the Jamaica Stock Exchange, VM Wealth said in a press release.
"The initial offer would have allowed new investors just under a 40 per cent stake in the company, however, based on the overwhelming response; Portland JSX decided to upsize the offer," the release said.
The offer received more than 550 applicants, of which 500 were retail clients.
Portland JSX is part of Michael Lee Chin's Portland Private Equity group. JSX is
a participant in Portland Caribbean Fund II, which aims to raise US$200 million to US$300 million for investment in regional businesses.
General Manager of VMWM, Devon Barrett, shared that the success of the IPO was due in part to the high level of investor confidence in the Portland Private Equity management team.
Robert Almeida of Portland Equity said they were pleased with the breadth of the subscription.
Portland JSX is expected to list on the main market of the Jamaica Stock Exchange within four weeks.