Sri Lanka’s Distilleries approves Melstacorp as holding company of group

Sep 07, 2016 (LBO) – Shareholders of the Distilleries Company (DCSL) at an Extraordinary General Meeting approved the special resolution to make Melstacorp Ltd the holding company of the group yesterday.

The resolution was approved with 99.9987 percent voting for and 0.0013 percent voting against.

The EGM was convened on the orders of the Commercial High Court of Colombo based on an application made by DCSL to restructure the group under the provisions of Chapter ‘X’ of the Companies Act No. 7 of 2007.

Distilleries shareholders will get four shares of Melstacorp for each share. Distilleries will then be a subsidiary of Melstacorp.

Melstacorp is the holding company of Lanka Bell, Continental Insurance Lanka, Melsta Regal Finance, Balangoda Plantations and Browns Beach Hotels. It also owns a significant percentage of shares in Aitken Spence and Madulsima Plantations Plc.

Harry Jayawardena is the Chairman of both DCSL and Melstacorp while Amitha Gooneratne is the Managing Director of Melstacorp Ltd.

DCSL shares will continue to trade until the close of trading on 30 September 2016 and has a market capitalisation of 80 billion rupees.