Sagicor Jamaica Limited is selling its 10-million shares in Playa Hotel and Resorts.

Sagicor Group Jamaica Limited and Sagicor Real Estate X Fund made the announcement today.

The group says the public offering price is five US dollars per share.

President and CEO of Sagicor Group Jamaica, Chris Zacca, says the group has made the decision, in order to reduce the risk associated with investments.

It says the decision follows the unprecedented and significant downturn in the global tourism market due to the COVID 19 Pandemic.

In a statement, Sagicor says it will assign an additional 8-point 5 million ordinary shares that it holds in Playa to its parent company, Sagicor Financial Corporation Limited.

It says that’s for cash consideration, at a price equal to the price offered through the Public Offering less commission expenses associated with the Public Offering.

Sagicor Jamaica will receive the identical net price per share for each transaction.

It says the transactions are to be finalized on Monday.

The Sagicor group says it will use the proceeds from the transaction to significantly increase investments in commercial real estate to support Jamaica’s economy.