Sri Lanka Orient Garments to raise 824 million rupees

Sept 10, 2014 (LBO) – Sri Lanka’s Orient Garments Ltd, a listed apparel exporter is to raise 824 million rupees through a right issue of 54.91 million ordinary shares at 15 rupees each, the company said in an announcement of Colombo Stock Exchange. The current stated capital of the company is 90.48 million rupees represented by 54.91 million shares.

The company plans to retire high interest rate borrowings and to increase the working capital, which will enhance operations of the company.

The company will issue a new share for every existing share, the company said.

Orient Garments which is a subsidiary of PC House Holdings owns five apparel factories.

The decision was made yesterday by the board of directors of the Orient Garment at a board meeting.

Orient garment has recorded a group loss of 36 million rupees for the first half 2014 down from 64 million rupees a year earlier.

The group revenue was down to 554 million rupees in June 2014 from 744 million rupees year earlier.