September 04, 2006 (LBO) – The Distilleries Group is in talks to increase their equity stake in its fund management unit National Asset Management Ltd or NAMAL.
Stassens, recently gave a billion rupees of its funds for NAMAL to manage.
Healthy competition is good for both fund management companies, Fernando said referring to Aegis and NAMAL. We will gradually give more money for NAMAL to manage.
The diversified conglomerate now controls 54 percent in the islands pioneering unit trust management company, with the rest owned by DFCC Bank (26 percent) and the Employees Trust Fund (20 percent).
ETF has now agreed to sell out, at the same price per share Distilleries paid to DFCC Bank, when they bought the controlling stake in March for 68 million rupees.
DFCC Bank, which controlled 80 percent of NAMAL earlier, is also expected to increase their stake to 36 percent.
ETF shareholding will be equally split between the balance shareholders. That’s the current thinking, said Damien Fernando Director NAMAL/Distilleries Company of Sri Lanka Ltd.
The deal is expected to go through in the coming weeks.