A senior official at Sagicor Financial Corporation has said there are no changes expected at the financial banking and services group as a result of the announced acquisition by Alignvest Corporation of all the shares of Sagicor.
Alignvest is a leading Canadian alternative investment management firm.
The announcement was made Tuesday, November 27, for Alignvest to acquire all the shares of Sagicor, under the laws of Bermuda, where Sagicor is incorporated, at a price of US$1.75 per share with an aggregate value of approximately US $536 million.
Reacting to concerns about the future of Sagicor, Group Chief Operations officer of for Sagicor Financial Corporation, Ravi Ramnaran told a local radio station that there was no change expected to Sagicor’s operations or management.
“Alignvest is a special purpose acquisition corporation that listed on the Toronto Stock Exchange in May 2017 and raised or received subscriptions for, an aggregate of C$565 million. Alignvest has no current operations and this proposed business combination with Sagicor is intended to be its sole and only qualifying acquisition,” the Sagicor release said. It added “Once regulatory approval is received, Sagicor will be listed on the Toronto Stock Exchange (TSX); consequently, Sagicor will delist from the Barbados Stock Exchange, the Trinidad and Tobago Stock Exchange and the London Stock Exchange.”
If conditions are met, the transaction is expected to close during the first quarter or early in the second quarter of 2019.
Sagicor said it expects that this transaction will increase annual net income by approximately US$30 million, upon closing. Closing is expected 2020, subject to regulatory approval and certain conditions being met.
By: Franklin McKnight