In a published print advertisement the company said: “At a meeting of the board of directors of TTNGL, held on May 17, 2017, the Directors approved the additional sale of 40,248,000 Class B shares in TTNGL, owned by NGC.”
In his 2017 budget statement Finance Minister Colm Imbert announced that in order to finance its fiscal programme, the government would embark on a sale of assets program.
In the first of its sale of assets programme, the government raised $1.025 billion from the sale of 32,035,770 additional shares of First Citizens Bank.
The offering was 34 per cent undersubscribed as the government had intended to raise $1.5 billion from the sale of 48,495,665 at a price of $32 per share.
Initially in his 2017 budget statement, the finance minister indicated that the government was looking to raise $1.5 billion from the sale of additional TTNGL shares.
However, in the May 10 mid-year review, Imbert said that the government would instead be seeking to raise $800 million from the sale of 40,248,000 TTNGL shares. That implies a price of roughly $20 per share, which represents a 10 per cent discount to the current market price of $22 per share for TTNGL.
For its first quarter ended March 31 2017, TTNGL generated after-tax profits of $56.9 million, an 88.4 per cent improvement when compared to the corresponding quarter in 2016 when the company recorded $30.2 million in profit after tax.