News Americas, KINGSTON, Jamaica, Fri. Jan. 26, 2024: Jamaican company, Sygnus Credit Investments, (SCI), has made a significant move by listing its preference share offer on the main market of the Jamaica Stock Exchange, (JSE). This listing, which occurred on January 19th, marks the first of the year and is part of a larger strategic move by the company.

The preference share offer comprised three tranches and garnered considerable attention from investors. In fact, it was oversubscribed by an impressive 102% following a successful closing in December. This achievement highlights the strong demand for SCI’s offerings in the market.

Jason Morris, Chief Investment Officer and Executive Vice President, Sygnus, inserts strip as members of the Sygnus, JMMB and Jamaica Stock Exchange teams look on. (Front L to R) Dr Marlene Street Forrest, Managing Director, JSE Group, Karl Townsend, Chief Country Officer (Jamaica), Capital Markets Unit, JMMB, Linval Freeman, Chairman, Sygnus Credit Investments. (Back L to R) Berisford Grey, CEO and President, Sygnus, Alana Lawrence, Manager Capital Markets Unit, JMMB, and Gregory Samuels, Lead Arranger, Head of Investment Banking and Senior Vice President, Sygnus Capital.

This transaction is noteworthy not only for SCI but also for the JSE. It represents the largest capital raise in SCI’s history and stands as the largest capital raise on the JSE in over a year. Additionally, in terms of USD capital raise, it is the most significant transaction on the JSE since SCI’s initial public offering.

Dr. Marlene Street Forrest, Managing Director of the JSE Group, commended SCI for effectively utilizing the stock market to further its strategic plans. She noted that this listing represents a remarkable start to the year, surpassing the total capital raised in the main, junior, and US-denominated markets for 2023.

All three classes of SCI’s preference shares saw overwhelming interest from investors. The company successfully raised a total of J$8.0 billion equivalent. This substantial capital infusion reflects investor confidence in SCI’s growth prospects and its ability to deliver value.

Berisford Grey, CEO and President of Sygnus, expressed his gratitude to subscribers and emphasized the company’s pioneering role in the alternative investment space. He highlighted SCI’s commitment to driving economic growth across the region and creating wealth for investors.

SCI’s diverse investment approach encompasses various industries, including manufacturing, distribution, financial services, energy, and more. The company remains focused on expanding its private credit portfolio and participating in private credit transactions across the Caribbean, with a target of at least US$1 billion over the next three years.

Karl Townsend, JMMB’s Chief Country Officer (Jamaica), Capital Markets Unit, praised the overwhelming response to the offering. JMMB played a significant role in the success of the preference share offer, raising J$1.6 billion and US$40 million through JMMB Moneyline and its newly launched JMMB Moneyline IPO.

The successful listing of SCI’s preference shares underscores the company’s growth trajectory and the strong partnership between SCI and JMMB. It also highlights the growing investor interest in this asset class and the confidence in SCI’s strategic direction.

SCI’s listing on the JSE represents a significant milestone for the company and the exchange. It reflects SCI’s commitment to growth, innovation, and delivering value to its investors. The capital raised will enable SCI to pursue its ambitious growth initiatives in the Caribbean region.

News Americas, NEW YORK, NY, Mon. Jan. 22, 2024: Guyana is strategically focusing on increasing its revenue from carbon credits as it strives to mitigate its environmental impact, especially in light of its burgeoning offshore oil reserves, Latin Finance reports.

In late 2022, this South American nation inked a significant agreement with US-based oil and gas producer Hess Corporation. Finance Minister Ashni Singh indicated to Latin Finance that Guyana is poised to initiate new carbon credit deals when the market conditions are favorable. The agreement with Hess, a member of a consortium involved in oil exploration in Guyana, encompasses a value of $750 million in carbon credits spread over a 15-year period.

Guyanese Lindon Peter, a resident of Arau village, carries supplies back to his village, after walking two hours through the jungle to reach the community of Mango Landing to buy supplies on December 11, 2023. (Photo by ROBERTO CISNEROS/AFP via Getty Images)

This landmark deal accounts for approximately one-third of the total carbon credits that Guyana can offer, according to Singh. He expressed that they received multiple offers when finalizing the agreement with Hess, affirming that there is substantial interest from various parties. Singh, in an interview during the World Bank/IMF annual meeting in Marrakech, Morocco, emphasized the importance of timing to secure the best possible price, indicating that carbon credits represent the third source of income for the country, following domestic revenue mobilization and oil revenue. While Singh didn’t rule out the possibility of issuing a sovereign bond in the future, Guyana is eager to establish its reputation in the carbon credit market.

The Hess deal holds particular significance for Guyana as private companies, led by ExxonMobil, are scaling up oil production more than 100 miles off its coast. With over 25 discoveries in Guyana’s waters, the country is expected to produce approximately 1.2 million barrels of oil per day by 2027.

Guyana’s first foray into carbon credits occurred in the early 2000s when it received around $250 million from Norway for its efforts in forest conservation. Notably, two-thirds of Guyana is covered by Amazon forests, and the government, under President Irfaan Ali, aims to leverage the country’s impressive track record in averting rampant deforestation, setting it apart from other members of the Amazon Cooperation Treaty Organization. In a new category known as “high forest cover/low deforestation countries,” Guyana ranks first among 33 nations globally. The government is resolute in its stance that preserving standing forests is an efficient means of combating climate change and seeks compensation for its conservation efforts.

Furthermore, Guyana is taking proactive steps to reduce greenhouse gas emissions from its energy sector by transitioning to natural gas, hydroelectric plants, and solar power generation, while also ensuring that new transportation and agri-business infrastructure align with environmentally friendly practices. The ambitious plan includes adding 50,000 acres of new farmland equipped with irrigation and drainage systems designed to minimize environmental impact. Singh underscored that despite Guyana’s trajectory as a significant oil producer, its vast forests and minimal environmental footprint position it as a carbon-sink country. He emphasized that the story of sustainable forest management, in many ways, parallels the narrative of its oil industry and is equally crucial in addressing global environmental challenges.

The push comes as Guyana has been forced to defend its territory from Venezuela, which wants to annex its Essequibo region, home to most of the country’s forests and natural resources.