Bank Buy

Mar 25, 2010 (LBO) – Sri Lankan government controlled funds bought chunks of Hatton Nation Bank on the Colombo bourse Thursday increasing their stake in the private listed bank to 25 percent of its voting rights, brokers said. "Now the government owns 25 percent of HNB," the spokesman from Capital Trust Securities said.

Sri Lanka Insurance Corporation (SLIC), National Savings Bank, Bank of Ceylon and Employees Provident Fund (EPF) bought 25.8 million shares or 13.6 percent of HNB's issued capital," a spokesman for Capital Trust Securities said.

"Galleon International Fund, New York sold 5.23 percent, and Monroe Financial Capital, California sold 8.65 percent of HNB."

The deal was executed by Capital Trust Securities, a stock brokering firm.

Brokers said with this purchase SLIC has increased its holding of HNB to 15 percent, and EPF to 6.5 percent, brokers said.