Sri Lanka, finance, beer bonds oversubscribed

June 11, 2013 (LBO) – An offer to sell 5.0 billion rupees worth bonds in Lion Brewery (Ceylon) Plc and Central Finance has been oversubscribed on opening Tuesday, registrars to the sales said. High net worth investors and banks have been piling into the listed debentures, which have been made tax free.

Small investors have been kept out of some of the bond sales which have minimum subscription of around a million rupees in some cases.

Lion Brewery offered to sell up to 3.0 billion rupees of bonds if an initial offer of 2.5 billion rupees was oversubscribed.

Central Finance offered to sell up to 2.0 billion rupees if an offer of 1.0 billion was oversubscribed.

Registrars to the issue, SSP Corporate Services said the issues will close at 4.30 pm Tuesday as they were oversubscribed.

Both offers were managed by NDB Investment Bank.