The Norman Horne-led manufacturer and distributor of construction materials, ARC Systems, has indicated that it is considering a listing on the Junior Market of the Jamaica Stock Exchange.
Deanall Barnes, Vice President of ARC Systems, says the company will be looking to raise funds on the Junior Stock Exchange to finance a planned expansion in its manufacturing base, rather than going through traditional financing sources.
"In recognising the financing difficulties, what we have done as a company, (which has) not (yet been) signed off on by any Board of Directors, is to split the company into five with the intention of carrying three of those companies public because it is a cheaper source in financing than what we refer to as the regular source of financing," he said.
Mr. Barnes added that the company commissioned another light manufacturing plant last week.
Currently, ARC System produces nails, zinc sheets, barbed wires and chain link fences but according to Mr. Barnes, the aim is to increase manufacturing.
"Over the last two years, our manufacturing contributions to the overall sales actually moved from about 10% to about 28% and in our strategic plan, we want to move that to about 50% by 2013. But it’s very important that you have access to relatively cheap financing," he said.
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