Alliance suspends IPO until further notice
Published:Friday | January 29, 2021 | 12:24 AM
Alliance Financial Services Limited announced that its initial public offering, IPO, will remain suspended, with the closing date extended until further notice.
The IPO was launched in late December but suspended in early January while regulators explored an unspecified issue pertaining to a separate company held by Alliance’s principals.
Peter Chin told the Financial Gleaner previously that the suspension had nothing to do with Alliance Financial, but gave no additional information. It was originally slated to last until January 28.
Efforts at comment from Chin and lead broker JMMB Securities regarding the latest suspension were unsuccessful.
The IPO’s initial opening date was December 28, with a closing date of January 11. The founding members planned on selling nearly $2 billion worth of their holdings to shareholders at $1.59, but maintain some shareholding and management control. A successful IPO would reduce the holdings by the Chins, who want to sell down their stake from 88 per cent to roughly 70 per cent.
Alliance Financial, which acts as a primary agent for remittance provider MoneyGram, also offers cambio services and provides payment services as a principal member of the MasterCard network. Its main regulator is the Bank of Jamaica.
The company was founded 24 years ago by Robert Chin and Peter Chin. The Chins also operate a separate company, Alliance Investment Management, which provides asset management services.