Insurance Corporation of Barbados’ (ICBL) stake in a Canadian company has been diluted after additional shares were issued, prompting economist Jeremy Stephen to warn that the development could have implications for ICBL’s policyholders and shareholders.

The formerly state-owned industry giant’s majority owner has filed an “early warning report” after its joint shareholding with ICBL in Canadian company AmeriTrust Financial Technologies Inc. fell below the 10 per cent threshold of the firm’s issued and outstanding common shares.

ICBL owner JPK Capital Holdings (Barbados) Inc., owned by ICBL chairman Joe Poulin, quickly pointed out that the development was not the result of any acquisition or sale of securities by JPK or ICBL.