CEO of Barita Investments, Ramon Small- Ferguson says the company is one step closer to completing its restructuring activities.

Speaking on Taking Stock with Kalilah Reynolds, Small-Ferguson said that come Monday, January 20, investors will have the opportunity to vote on a new  “Scheme of Arrangement.” 

Here’s the gist: Cornerstone Financial Holdings owns a big chunk of Barita about 75%. Cornerstone also owns Cornerstone Trust and Merchant Bank. Because both a bank and an investment firm are involved, Jamaican banking laws require them to reorganize into one financial holding company to make it easier for regulators to oversee.

“Several other companies have done this before, including NCB Financial Group, JMMB, and Victoria Mutual Group. So, its not unusal.”

If shareholders approve, Barita will no longer be listed on the Jamaica Stock Exchange as a standalone company. Instead, it will be replaced by the Barita Financial Group.

For current shareholders, the transition won’t change the number of shares they hold or their proportion of ownership. However, the new holding company will give them access to more of Cornerstone’s businesses, including its banking and investment arms.