iCreate (Kintyre) moves in on BVI acquisition
iCreate Limited, which is soon to renamed Kintyre Holdings (JA) Limited, said it has recently entered into a letter of intent as it take steps to acquire a 20 per cent equity stake in a company that operates tourism and hospitality type businesses in the British Virgin Islands (BVI).
The entity identified as MVL is said to be the operator of beach club resorts, restaurants and lounges in the BVI.
Chairman and CEO of iCreate Tyrone Wilson, tight-lipped on the finer details such as transactional value, told the Jamaica Observer that the acquisition is expected to further add value to his new investment holding company’s growing portfolio of businesses.
“For competitive reasons we will not disclose the name of the hotel but… it’s one of those top-rated entities in the BVI. It’s a letter of intent to which we are bounded, so we can’t disclose too much but what I’ll say is that we’re now in the process of raising the funds to do the investment,” he said in response to BusinessWeek queries.
Wilson further said the company has good cash flow and assets valued at over US$35 million ($5 billion). In its own pursuit of growth, the business is also now actively seeking to expand operations.
“The size of the business [MVL] represents well for the types of businesses we are looking to get into and the levels at which we want to play as we make the move to Kintyre Holdings,” the chairman and CEO said.
“As a young company, Kintyre is very aggressive and may take a risk as it relates to some of the companies we are investing in but we’re looking for return on investments of 25-30 per cent per annum from some of these businesses. For others, we want to play a role in helping them to become public, whether here in Jamaica or in other markets,” he added.
In a notice posted to the Jamaica Stock Exchange (JSE) this week, Wilson said his company stands to benefit from common shares which will allow shareholders full voting rights and an entitlement to any dividends declared by the entity.
“Completion of this transaction is subject to satisfactory due diligence by, including further review of MVL financial statements, asset valuations, and legal documentation. The finalisation of the investment will be contingent upon the execution of a definitive Share Purchase Agreement between the parties which the agreed purchase price will be disclosed,” the notice also said.
The chairman and CEO, who had earlier this month informed shareholders about a number of plans for the soon to be rebranded Kintyre entity, said the move on this potential BVI acquisitions marks the first of others now in advance stages.
Outside of acquisitions, it has lined up locally in the real estate and food and beverage industries, Kintyre also has its eyes set on other deals in countries such as the US and Dubai.
“One of the partnerships that we’re now working on in Dubai is very advance and we should be able to say something about it soon. This one promises to be a game-changer for us as well as the market,” Wilson stated.
iCreate, having had its fair share of troubles, the founder said, is now on a refreshed path, one in which it wants to do more as it learns from past mistakes and seek after better outcomes, especially as it tries to balance the books and grow revenues.
Up to the second quarter period ended June 30, 2024, the company’s revenues near doubled to total $34.9 million followed by the return of profitability at $1.2 million. The performance was largely driven by sharp revenue growth and profit from its outdoor and digital signage subsidiary, Visual Vibe, which the CEO said continues to do well despite the challenges.
“We’ve been through it but we are now focused on stabilising the business. We have been making the right moves and we have the right team in place even as we look to add more board members to help with sharpening our global outlook. We’ve had a little time to catch up and to work on fixing some of the challenges that we’ve experienced in past — so now its full speed ahead as we look to grow the business. The days of losses are behind us and we continue to build on the foundation we have already laid out. The future for us looks very promising but we are taking things one step at a time, being cautiously optimistic as we take advantage of different opportunities,” Wilson said.