Sri Lanka Telecom has traded in its Rs. 138 million interest free loan given to Mobitel, for an equity stake in the cellular operation.
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SLTs Board of Directors also approved Rs.
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500 million in fresh capital infusion into the cellular operator, increasing its investment in the subsidiary by Rs. 638 million or 63.8 million fresh shares of Rs. 10 each.rn
rnIn October 2002, SLT acquired a 60 per cent shareholding in Mobitel from Telstra of Australia thereby increasing its stake in the company from 40 per cent to 100 per cent.rn
rnAnalysts then valued SLTs 40 per cent stake at Rs. 188 mn, while sources close to the acquisition said the remaining stake was picked up at around US$ 9.6 million.rn
rnMeanwhile, SLTs Board of Directors was also recently shaken up with top state officials brought in to push its upcoming projects.rn
rnThe composition of the new Board was not available at the time of the report. rn
rnThe previous Board however comprised of:rn
rnThilanga Sumathipala - Chairman
rnShuhei