iCreate Seeking Shareholders’ Approval of J$425-million Capital Raise
- The Jamaica-based creative company, iCreate Limited is seeking to raise some J$425Mn in capital to continue its expansion programme, in particular the acquisition of Visual Vibes.Com Limited, one of the leading video board advertising companies in the country.
- The company requires additional funding to continue to execute its growth strategy through mergers and acquisitions. On May 19, the board of directors of the company passed a resolution, subject to the approval of the shareholders, authorizing raising J$425Mn by way of a Rights Issue, offering to the existing shareholders the opportunity to subscribe for additional ordinary shares in the company.
- Subsequent to this, on July 18, iCreate’s board of directors passed another resolution, subject to the approval of the shareholders, authorising the acceptance of convertible debt financing of J$100 million and US$400,000 to be provided by Astronomical Holdings Limited and Kintyre Holdings Limited, respectively.
- The loans will be converted to ordinary shares at a conversion price as will be the same as the subscription price fixed for the ordinary shares proposed to be made available for subscription according to the Rights Issue.
- The company is convening a hybrid extraordinary general meeting, scheduled to be held on Thursday, August 25, 2022, to vote on its proposed rights issue and approval of convertible debt financing.
- The shareholders are being asked to vote on a resolution to authorize the subscription of new ordinary of up to $212.5Mn ordinary shares (with the option to upsize as the directors in their absolute discretion may approve). The same allotment of $212.5Mn shares will be made available as per the debt financing conversion to equity holding to amount to the full funding requirement of $425Mn.