iCreate seeking to settle after shake-up
Published:Wednesday | December 6, 2023 | 12:10 AMNeville Graham/Business Reporter
Private equity investor Anthony Dunn and marketing and tourism aficionado Donovan White are now members of the board of junior market-listed company iCreate.
Dunn is currently the chief investment officer of Delta Capital Partners Limited and will sit on the boards of iCreate and Visual Vibe. White is presently director of tourism at the Jamaica Tourist Board. He will also contribute his expertise as a member of the remuneration committee at iCreate, according to company filings on the Jamaica Stock Exchange.
Regarding his association with Delta Capital Partners, Dunn says the investment has nothing to do with that outfit, adding that the same holds true for former iCreate Chairman Ivan Carter, who is also associated with Delta.
“The investment is not made by Delta. Ivan works for Delta as well, but his representation on the iCreate board had nothing to do with Delta,” Dunn said, while disclosing that the investing entity in the Visual Vibe transaction is a St Lucia-registered IBC, which he’s not a liberty to name at this time.
“I saw it as a strategic investment based on some plans that we have for Visual Vibe itself. Those benefits will accrue to iCreate itself,” Dunn said.
In doing the investment, according to Dunn, the new investors took over the outstanding vendor’s note on the Visual Vibe transaction for an undisclosed sum.
“There was a balance on the vendor’s note which was substantial. Whatever arrangement that iCreate had with the vendor, they were clearly looking for funding to clear that up. This clearly didn’t happen in time and when I looked at it, I saw a strategic opportunity to unlock some value out of Visual Vibe going forward,” Dunn said, adding that his presence on both boards is a matter of protecting vital interests.
“The fact that iCreate is the majority shareholder in Visual Vibe; it makes sense for us to have a role on the iCreate side to help drive strategy and ensure that we’re front and centre in everything, because our exposure in Visual Vibe is significant and we have to protect that interest,” Dunn said.
AUDIT COMMITTEE
As part of the arrangement, Dunn has been appointed to the board of iCreate and is a member of its audit committee. This fills one of the vacancies created by the recent ouster of four other board members at iCreate.
Tyrone Wilson is returning as president and CEO of iCreate, effective November 26, 2023. He resigned suddenly in August.
The return of the company founder was accompanied by the removal of four directors from the company’s board: Arlene Martin, Ricardo Allen, Dainya-Joy Wint and Ivan Carter, along with the exit of Crichton Mullings & Associates as the company’s auditors.
Wilson acted as the proxyholder, or representative, of Kyntire Holdings and Emedia Interactive Group Limited, which collectively hold 52.40 per cent of iCreate as of September 30 and were listed as connected parties to Wilson.
The returned executive chairman says with the addition of Dunn and White, there are no plans to expand the board further at this time. The five-member board of Wilson, Dunn, White, Adrian Smith and Larren Peart is expected to “drive the continuation of iCreate’s mergers and acquisitions strategy and an aggressive regional expansion of iCreate Institute”, Wilson says, noting that most of the items that were on the table before his departure “are still very much in effect”.
Pressed to comment on the removal of Carter and other boards members, Wilson said he has nothing to say on that matter at this time, but that “there is no bad blood” arising out of the separation.
iCreate has been publicly listed on the junior market of the Jamaica Stock Exchange since February 2019. It started as a creative institute, with the aim of supplying skills training and development of creatives in Jamaica and the wider Caribbean. iCreate’s nine-month revenue is down 21 per cent to $78.38 million, with a net loss of $150.12 million, largely due to the acquisition-related expenses for Visual Vibe.com Limited, which was acquired in May.
Total liabilities continue to climb above $375 million. It now has Visual Vibe and payment company WiPay as subsidiaries.