1834 Investments (1834) is on the verge of being dissolved and wiped away from the stock market. RJR will soon be the owner of all 1834 shares, and the company’s presence on the stock will be suspended effective October 25.
This will give ample time to sort out the behind-the-scenes paperwork and processing of shareholder payment elections ahead of the Supreme Court of Jamaica hearing scheduled for November 24, 2022.
Investors in 1834 Investments have been offered $1.29 in cash, 0.4962 Radio Jamaica shares per 1834 Investments share, or a blend of cash and shares. December 1, 2022, will be the effective date for shareholders, on December 8, the cash payment is expected to be completed and Radio Jamaica shares by December 15.
1834 Investments was the sole entity after The Gleaner Company Limited (GCL) shifted its media assets and operations into The Gleaner Company (Media) Limited, which merged with Radio Jamaica in March 2016. The Gleaner Company Limited was listed on the JSE via an initial public offering in 1969 and was incorporated on June 10, 1987.
1834 Investments has been going through a rough patch over the last few years, so it makes perfect sense to do such a move. They recorded a net loss of $29.71 million in its first quarter compared to the $14.85 million net profit in the prior period.
For RJR to be able to pay the investors in cash, they entered a “cash back-stop” agreement with Victoria Mutual Investments Limited (VMIL) which will give them $700 million to finalize this process.
Monica Ladd, Chair of the August 10 gathering, affirmed that of the nine investors who consented to the lockup arrangement totaling 634,303,961 offers or 52.37 percent of the organization, a couple have settled on cash while the rest picked the Radio Jamaica (RJR) shares.
Gary Allen, CEO of Radio Jamaica, affirmed to the Jamaica Spectator in August that his organization is simply presented to paying just shy of four percent or $63 million in the worth of 1834 Investment shares.
