Barita's stock price crosses $100 mark amid successful APO

The stock price of brokerage firm Barita Investments Limited climbed to $102.70 on Tuesday following the successful closure of its additional public offer (APO).

The offer has raised $10.78 billion in capital for the company.  

It's the first time that the company's stock has traded past the $100 mark.

Barita's market value now stands at $111.5 billion.  

The invitation, which opened on September 6th, 2021, and closed on September 21st, 2021, was oversubscribed, receiving over 3,000 applications from existing shareholders.

Barita exercised the option to partially upsize the APO invitation by 9,785,150 new ordinary shares to 134,785,150.  

All 112.5 million shares were allotted for special investor groups, including the company's majority owners Cornerstone Financial Holdings Limited.

Other institutional investors were allotted 93.75 million shares.  

Another reservation of 18.75 million shares made for existing shareholders and Barita clients were also fully taken up while the remaining 12.5 million went to the general investing public. 

The funds raised will be used by the company to top up its investment portfolio, which includes taking equity stakes in private companies, providing private credit and taking positions in infrastructure and alternative investments.

Some of the money will also go towards financing the business' local and regional expansion, and further expanding its investment banking underwriting capacity after settling transaction costs of $200 million. 

The brokerage firm will allocate $4.1 billion of the proceeds towards expanding its local and regional footprint, $4 billion to its principal investment portfolios, and $1.6 billion to further expand its investment banking underwriting capacity and expansion into the region. 

“This capital raise will allow us to seek new investments for the benefit of the entire country and the Caribbean region. With a larger capital base, we have been further strengthened to take on development projects and fuel growth for all our investors and stakeholders,” said Barita spokesperson in a press release on Tuesday.

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