Trinidadian company Guardian Holdings Limited (GHL), which was previously a traded equity on the Jamaica Stock Exchange (JSE), has begun the process of relisting by introduction.
In preparation for the relisting, the company has issued an abridged statement to the JSE setting out company information on April 20, 2021.
NCB Financial Group Limited, the majority shareholder of GHL, had previously indicated that on March 4, 2021, the subsidiary’s board of directors decided to pursue the cross-listing of shares on the Jamaican index.
Already, the company trades shares on the Trinidad and Tobago Stock Exchange (TTSE).
The company said it had considered the relisting since “trading on the JSE has become increasingly dynamic over the years.”
GHL is the parent company for an integrated financial services group known as Guardian Group, which focuses on life, health, property, and casualty insurance; as well as pensions and asset management.
The holding company had delisted from the JSE in 2013, at which time it indicated that, based on its analysis, trading activity on the JSE represents less than 1.5 percent of the overall trading activity in GHL shares. It voluntarily moved to close its register on December 24, 2013, and its shares were delisted on December 31, 2013.
In 2019, however, NCB Financial Group acquired controlling interest of 61.97 per cent in Guardian Holdings Limited (GHL) for a total consideration of JM$28.1 billion and, consequently, GHL became a subsidiary.
Since then, NCB Financial Group raised a JM$7-billion bond for its subsidiary and listed the debt on the new JSE bond market platform this year.
Guardian serves markets in 21 countries across the English and Dutch Caribbean, including Trinidad & Tobago, Barbados, Jamaica, Curacao, Aruba, St Maarten and Bonaire. In addition, it markets its products and services throughout the Eastern Caribbean, the Bahamas, Cayman Islands, the US Virgin Islands, and Belize.
At year end December 31, 2020, profit attributable to equity holders was TT$774 million, 12 per cent above 2019 profit of TT$692 million. The company has more than doubled profit over a five-year period since December 2015.
In 2020 Gross Written Premium for the group increased to TT$6,557 million.
The contribution from the life, health and pensions business stayed flat from due to the economic slowdown. However, property and casualty business (General Insurance) increased by 8 per cent from $2,633 million to $2,856 million.
The group ended the year with total assets of TT$33.02 billion compared to TT$ 30.07 billion in 2019.
At the same time, total liabilities, of which the majority are insurance contracts, were TT$28.34 billion at year end 2020, over TT$ 26.10 billion in 2019
Effective 30 September 2020, Guardian acquired the life insurance and annuities portfolio of NCB Insurance Company Limited (NCBIC). The company’s Jamaican subsidiary entered into a distribution agreement with National Commercial Bank Jamaica Limited to underwrite the bank’s future bancassurance business.