JMMB Sells Minority Shares in CMMB for US41.37 Million

JMMB sells minority shares in CMMB for USD 41.37 millones

October 15, 2008.-Jamaican Money Market Brokers, JMMB, announced the successful sale of minority shares of one of its members in Trinidad, Caribbean Money Market Brokers, CMMB. In this transaction JMMB sold their share of 45% to the majority shareholder, CL Financial Group, for the price of US$ 41.37 million.  Stated transaction has created substantial gain for JMMB which will be reflected in the financial statements of the second trimester.  Negotiations between both parties began early in 2007 and the transaction was completed at the end of September 2008. 

Keith Duncan, CEO of JMMB group said “we have benefited from a mutual valuable relationship with CL Financial Group.  The CMMB project has been a success for both parties, in which JMMB obtains US$ 41.37 million of a total investment of US$1.57 million carried out only 8 years ago.”

Carrying out its business diversification strategy, JMMB decided to manage the process solely through entities in which it had majority interest or control.  With this sale JMMB will increment its business in the Dominican Republic.  In 2007 JMMB acquired 80% of its capital shares in JMMB BDI America in the Dominican Republic, allowing JMMB to further diversify its regional strategy.  Likewise, JMMB will continue its regional diversification in Trinidad through IBL (InterCommercial Bank Group).  JMMB acquired 50% of IBL shares in 2005, thus taking total directive control.

This sale will strategically position JMMB, whilst increasing its capital.

Dr. Noel Lyon, President of JMMB Group said, “This is just another example of how JMMB’s diversification strategy has provided results for the Group during the past 10 years.  JMMB is committed to it’s 2025 vision and on being the market leader of the Caribbean and Central America, in both international and national markets.”

Dr. Noel Lyon,  Presidente del Grupo JMMB añadió, “Esto es otro ejemplo de cómo la estrategia de diversificación de JMMB ha dado resultado para el Grupo durante los 10 años pasados.  JMMB sigue comprometido con su visión 2025 y a ser el líder en el mercado del Caribe y Centroamérica, tanto en los mercados internacionales como nacionales.”

History

CMMB was founded in the year 1999 as a joint company between Jamaica Money Market Brokers Limited (JMMB) owners of 45% of the shares, Clico Investment Bank (CIB) and CL Financial, together owners of 55%.  Caribean Money Market Brokers (CMMB) were the first to offer a complete brokerage service in Trinidad and Tobago, offering investments in public debt and corporate shares.  CMMB was launched in August 2000.  JMMB had invested US$ 1.57 million in this joint company.  During the past 8 years CMMB has expanded its offices to Barbados and St. Lucia.