The First Citizens’ Additional Public Offering – March 2017

15 March 2017


The First Citizens’ Additional Public Offering:
March 13 – March 24, 2017

Following the Government of Trinidad and Tobago’s announcement that it intends to sell an additional 25% of its shares in First Citizens, the bank has officially launched an Additional Public Offering (APO) this Monday, March 13, 2017.

See below for the details:
Offer Size:      48,495,665 shares at TT$32.00 per share for a total consideration of  TT$1,551,861,280

Opening:         March 13, 2017

Closing:          March 24, 2017

Allocation:     April 25, 2017

The announcement, prospectus, as well as the purchase application forms can be found here.

While interested investors should not expect a repeat of the 2013’s IPO which saw the share price soar from the issue price of TT$22.00 per share to TT$35.05 shortly after listing, and subsequently to TT$43.00, First Citizens remains a strong company with solid financials, and we believe that the company has the ability to navigate through the depressed economic environment in the Caribbean and T&T relatively unscathed.

The offer price of TT$32.00 per share, while lower than the average price of TT$33.45 over the past year, remains attractive namely for one reason: its dividend yield. Based on the dividend paid over the year 2016, the share’s indicative dividend yield is 4.16%, which has remained comfortably above the average dividend yield of 3.63% offered by the market (T&T Composite Index) as a whole.

As such, while we at Firstline Securities Limited do not expect much capital appreciation in the short-term, we see the APO as an attractive investment opportunity for investors who are willing to stay for the long haul, and are looking for an additional income-generating avenue.

Feel free to contact any of Firstline’s team members (see below) who will be happy to assist you in the subscription process:

Jody Hernandez | jody.hernandez@nullfirstlinesecurities.com | (1 868) 628 – 1175; 374 – 2838

Thomas Verguet | thomas.verguet@nullfirstlinesecurites.com | (1 868) 628 – 1175; 485 – 2786

Alicia Hernandez | alicia.hernandez@nullfirstlinesecurities.com | (1 868) 628 – 1175; 620 – 2540

Cole Patrick | cole.patrick@nullfirstlinesecurities.com | (1 868) 628 – 1175; 280-8637

Winston Gordon | winston.gordon@nullfirstlinesecurities.com |(1 868) 628 – 1175; 678-9393

Serena Katwaroo | serena.katwaroo@nullfirstlinesecurities.com | (1 868) 628 – 1175

Maria Lewis | maria.lewis@nullfirstlinesecurities.com | (1 868) 628 – 1175

 

 

 

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