Bermuda First investments has unrealised loss of $629,350

Bermuda First Investment Company Limited, an investment holding company with a number of significant investments in BSX Bermuda listed companies, announced its first results as a public company.

J. Michael Collier, chairman of BFIC, said in a press release: “BFIC successfully listed its shares and loan notes on the BSX in October 2012. BFIC aims to build strategic investments in BSX listed local companies and we will continue to develop relationships with the management and boards of the investee companies so as to enhance the long term value of the investee companies for the benefit of all shareholders.

“As the only BSX listed investment company with a focus on BSX listed Bermuda companies we hope that potential investors will invest in the Company’s shares or loan notes and therefore gain exposure to a portfolio of local Bermuda companies.“

For the period ended December 31, 2012, the BFIC recorded a profit of $299,922 (before the unrealized loss on investments) on income of $618,971.

Total expenses were $319,049 with $180,945 relating to accrued interest expense on the company’s 5% unsecured 2019 loan notes. In addition there were one-off expenses totaling $72,402 relating to the listing of the company’s shares and loan notes on the BSX.

The company’s unrealised loss on its investments for the period was $629,350. The company is required under International Financial Reporting Standards ) to value its investments based on the bid price quoted on the BSX. The company’s investments were acquired on an average trading price and the majority of the unrealised loss relates to the accounting treatment required under IFRS.

BFIC has total assets as at December 31, 2012 of approximately $33.7 million and shareholders’ funds of approximately $16.8 million. The Company’s major liability is the $17.1 million five per cent unsecured loan notes that it issued in October 2012.

It is anticipated that the Company will pay dividends to its shareholders on a six monthly basis.