Pan-Jam. Investment Trust Ltd. PJAM – Buy Out

Pan-Jamaican Investment Trust Ltd., owners of 58% of the issued Ordinary shares in Hardware and Lumber Ltd., have announced an offer to purchase all remaining shares now held by outside individuals and institutions in a strategic shift in investment and ownership structure within the Group.

The offer price is $2.00 in cash to be paid on September 30, 1997. This compares favourably with the recent share price of H&L on the JSE which last traded at $1.05 per share.

In recent years, profitability at H&L has stagnated as a result of increased interest expenses, high receivables, low margins and stock turns. Improvement is not expected in the short term.

The Directors of Pan-Jam propose major shifts in emphasis from traditional operations at H&L.