The Public Receives Full Allotment In Victoria Mutual Investments Limited (VVMIL) Initial Public Offering

29 Dec 2017 | Back to News

Friday, December 29, 2017 – KINGSTON, Jamaica: “Following the approval of our [VMIL] allotment by the Jamaica Central Securities Depository, I am pleased to inform that 85% of applicants designated as VM Group’s Members and clients and over 52% of applicants from the general public received their full allotment. Applicants in the VM Group Members Reserved pool received up to 200,000 shares, plus 6.54% of any excess over this initial 200,000, while the general public received full allotment up to $30,000 shares and a fractional 4.03% of any excess over the initial 30,000 units” said Devon Barrett, Group Chief Investment Officer at Victoria Mutual. Barrett was speaking at the listing ceremony for VMIL on the main market of the Jamaica Stock Exchange (JSE) on Friday, December 29, 2017.

The Initial Public Offering (IPO), which opened on December 11, 2017, and was closed earlier than scheduled on December 12, 2017, due to oversubscription, raised $2.8 Billion, significantly exceeding its target of just under $700 Million.

“This is a historic moment  for the Victoria Mutual Group,” said Barrett, “as it is the first time in Jamaica that a mutual financial institution will list a subsidiary on the Jamaica Stock Exchange.”

According to Courtney Campbell, President and CEO, Victoria Mutual Group, the move to raise capital via an IPO was to better enable the Victoria Mutual Investments Limited to grow its business of providing financing solutions for Small and Medium Sized Enterprises (SMEs) and to capitalise on new business opportunities.

“We have at our core, the  mission of promoting financial inclusion for everyone. This is evident in the fact that our allotment formula ensured that the majority of the over 4500 subscribers  from the VM Group and the Public had their applications fully satisfied. It was important for us to provide value to our Employees and Members and clients by facilitating their participation in the ownership of the company and the resultant benefits,” Campbell said.

“All of us in the VM Group are deeply committed to our purpose of empowering our fellow Jamaicans to achieve Financial Independence. We are committing at least $1 billion of financing to SMEs in 2018 but stand ready to offer our Corporate Finance expertise to guide entrepreneurs on how they can access a wider pool of debt and equity funding to take their businesses to the next level,” he said.

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BACKGROUND ON VMIL

VMIL was incorporated in 1984 and is domiciled in Jamaica.  It is a wholly-owned subsidiary of the Victoria Mutual Building Society, established in 1878.  VMIL is the immediate parent company of Victoria Mutual Wealth Management Limited, which was founded in 1994.

As part of the VM Group’s strategic goal of being a Strong Integrated Financial Group, in 2017 the organisation initiated the recapitalisation of VMIL, as a vehicle to facilitate corporate lending and investing to support well run Jamaican businesses.  To date, VMIL has successfully raised $500 Million of debt by way of a private placement.

VMIL offers a range of products including margin loans, insurance premium financing, lease financing, underwriting services and secured corporate loans, managed by the financial expertise of the VM Wealth team.

 

BACKGROUND ON THE VICTORIA MUTUAL BUILDING SOCIETY

The Victoria Mutual Building Society (VMBS)is a proud Jamaican mutual financial organisation that has been empowering its members to acquire homes and achieve financial independence for over 139 years. Its mutual status means that it is owned by and run for the benefit of all its Members, regardless of the size of their savings account or mortgage loan.

The organisation provides individual consumers, small and medium businesses and large corporate entities with a suite of financial services, which includes savings and investments; wealth and pension fund management; mortgages; real estate and money transfer services; and general insurance. These services are offered through five strategic business units and an affiliate company, supported by a network of 16 branches and representative offices in the United Kingdom and the United States.

 

Formore information, please contact:

Clover Moore

Manager, Corporate Affairs and Communications

Group Corporate Affairs and Communications

Email: clover.moore@vmbs.com ● Tel: 383-2724


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