Dionne Rose, Business Reporters

Geoffrey Messado at the Ciboney AGM at the Knutsford Court Hotel on Tuesday, October 30, 2007. - File

There are still no takers for the 16-acre property at Culloden in Westmoreland, which resort company Ciboney Limited has had on the market since 2006.

The property was initially being sold for more than $100 million according to Ciboney's audited financial statements for year ending May 31, 2006.

But Geoffrey Messado, director of the company, told the Financial Gleaner yesterday, the last evaluation done of the property, priced it at $160 million.

According to Messado, there has been interest in the property but no buyer.

Asked why, he said: "Well, at that price ... I guess the right person will come along," said Messado.

"We would look at interested parties (but) the valuation is at $160 million," he said.

The land, which is one mile from the Sandals Whitehouse resort, is beachfront property suited for tourism development, said Messado.

$44 m value

The property, according to the company's audited statements, had a book value of $44 million.

In 2006, the company received an offer of $100 million for the property, which it refused on expectations that it could fetch a better price from the market.

But on Thursday Messado said other offers since were "way below" what the company was asking for.

The Westmoreland-based property is the last asset of the cash strapped company, which was taken over by FINSAC, the government's financial sector bailout company.

If the property were to be sold for the $100 million, the company's audited report in 2006 estimated that shareholders at the time could expect a distribution of approximately 8 cents per share.

"This would mean that Ciboney shares would be a 'buy' at anything below 8 cents per share. At the current price of 10 cents per share they would have to sell the property for at least $112 million, for shareholders to receive 10 cents per share or more," said the company's audited statement at the time.

Ciboney remains listed on the Jamaica Stock Exchange, and while the stock trades with some regularity its price has remained within a band of one cent to six cents.

dionne.rose@gleanerjm.com