Letter - Setting the record straight on Wallenford

The story 'Investors snub Wallenford' in the Financial Gleaner on Friday, Septem-ber 9, contained a few erroneous statements.

The main issue is the report that "Mavis Bank Coffee Factory's (MBCF) assets were valued at about US$20 million ahead of the sale". The DBJ has never released the value of MBCF assets to the public as it is used as a basis for negotiating with a bidder.

The second statement relates to the page 1 headline that "Investors snub Wallenford". The DBJ would like to point out that several information memoranda have been purchased for the Wallenford Coffee Company's (WCC) privatisation and those potential investors have been undertaking extensive due diligence on WCC.

The decision to extend the bid submission date from September 2, to October 14, was to allow for interested parties to complete their due diligence.

In the tender process, bids are accepted on or before noon EST on the due date, which is now October 14, therefore bids are not yet due in this divestment transaction. The respondents to this privatisation opportunity were informed in advance of the extension date.

Please note, too, that the WCC privatisation package has not been redesigned. The packages available in this privatisation transaction are the same as initially advertised in early June 2011 and it is only the advertisement layout in September 2011 that is different.

Milverton Reynolds

Managing Director

Development Bank of Jamaica