GK Capital Management Limited, a subsidiary of the GraceKennedy Group, has been recently engaged by Jamaica Fiberglass Products Limited (JFP) to play the role of lead financial advisor as the company seeks to raise investment capital and grow its business internationally.
GK Capital, in a recent company release said, that this engagement will see it evaluating several strategic options for fund-raising including the launch of a potential initial public offering (IPO) of JFP’s ordinary shares on the Jamaica Stock Exchange (JSE).
GK Capital’s vice-president of Investor Relations, Ryan Strachan, commenting on the venture as a solid one, said that, “As a manufacturer, JFP embodies the mantra of buying Jamaican and building Jamaica. Their client base spans a multitude of industries and their dexterity has allowed them to pivot and thrive amid the COVID-19 pandemic. It is an honour for the GK Capital Team to be entrusted with the responsibility of being their financial advisor at such a crucial time in the company’s history. JFP has tremendous scope for growth, and we look forward to continued partnerships with them in years to come.”
Steven Whittingham, who oversees GK’s Investment businesses, added that it was “great to see that in times of such uncertainty that well-run companies such as JFP have access to the capital markets to facilitate their continued growth,” commented
JFP, which is a family owned and operated business, manufactures commercial furnishings for the local and overseas market. The entity directed by Metry Seaga said that its timing of coming to the equities market was perfect, as the 35-year-old company becomes focused on its next phase of operational expansion.
“It is the ideal time to grow our capital base with a view to market and promote the company outside the shores of Jamaica. We are the manufacturers of furnishings for many major brands such as Starbucks, KFC, Wendy’s, AC Marriott, Sandals, S Hotel and countless others in Jamaica and the region. In the near future, we intend to reach out to these brands internationally to become a preferred supplier in larger, more lucrative markets like North America where we have duty-free access through the Caribbean Basin Initiative. The growth paths are numerous as there are over 25,000 new hotel rooms scheduled to come on stream here at home over the next five years.”
Seaga also said that the company’s performance during the pandemic was a testament to its resilience. “The management and staff have been bolstered by our ability to manoeuvre quickly during COVID to introduce new products and lines that ensured our continuity and gave us our most profitable year to date. We feel that with the injection of capital and a solid board to complement our executive that the sky is the limit for JFP, we want to share that success with those that trust in us to move our company to higher heights,” he said.
Stephen Sirgany, director of JFP, in commenting on the latest move further, said that the new thrust will redound to the benefit of the company and employees. “As the founder of the company, I have seen it grow from its infancy stages to what I can proudly say is the Caribbean’s largest and most recognised contract furniture manufacturing company. Our employees are the backbone of our success and this new growth path will allow them to grow as well. New capital and greater exposure to external markets will take us to a new place that we once only dreamed of,” he stated.
