Jamaica Producers Limited CEO Jeffrey Hall has stepped into the role of Chairman of Lumber Depot which has successfully separated from Blue Power Group Ltd.
The company which in a November initial public offering (IPO) passed to new ownership is now awaiting listing. Meanwhile, Hall heads the newly appointed board of directors.
Blue Power sold its lumber division via the IPO in November. Company chairman Dr Dhiru Tanna said in a release this week that the offer was heavily oversubscribed and closed within one minute of opening.
On November 22, the public was invited to apply for 141,247,500 new shares in Lumber Depot Limited at a price of J$1.20 per share.
Meanwhile, with effect from August 1, the results of Blue Power Group Ltd excluded the former Lumber Depot division. Since then, Blue Power Group’s revenue derived from manufacturing activities, rental of property and provision of management services to Lumber Depot Limited.
Tanna said that Blue Power Group has been restructured to fully carry the expenses relating to the Chairman and the Manager at Blue Power Group Ltd. which were previously accounted for in the results for the Lumber Depot division.
For the quarter ended October 31, 2019, sales at Blue Power Group of J$113 million produced an operating profit of J$18 million, Tanna reported.
In addition, the company earned $6 million in other income to create $8 million in net finance income, resulting in a before tax profit of $32 million or $28 million after tax.
Tanna said the results compared favourably with the previous year when after tax profit for the quarter was $27 million with the operations of the Lumber Depot division included.