Sep 24, 2014 (LBO) – Sri Lanka’s Anilana Hotels and Properties Limited is to issue 109,624,114 ordinary shares for its shareholders to raise money to settle an existing debt and to finance the balance construction of a hotel project in Dambulla Sri Lanka, the company said in a Colombo Stock Exchange announcement. The rights issue is subject to the approval of the Colombo Stock Exchange.
According to the firm’s website it is operating three properties in Pasikuda, Nilaveli and Nuwara Eliya and is planning several more. The company wish to raise a sum of 767 million rupees through the issue at a price of seven rupees per share, by way of rights to the existing shareholders, in the proportion of two new ordinary shares for every seven ordinary shares held.
The funds raised through the issue would be partly utilized to retire approximately 167 million rupees of the existing debt of the company and the balance sum of approximately 600 million rupees would be utilized to finance the balance construction of the Dambulla hotel project which is currently carried out under Dambulla Hotel Resort and country club (Pvt) Limited, a fully owned subsidiary of the company.
The current stated capital of the company is 3,095,892,850 rupees represented by 383,684,400 ordinary shares.