Sri Lanka’s Hemas Holdings to expand its ownership and liquidity

Mar 03, 2015 (LBO) – Sri Lanka’s diversified conglomerate Hemas Holdings is to broad base its ownership and raise liquidity after major shareholders of the firm opt out a proposed rights issue.

The company has been informed of the decision taken by the major shareholders to allow other investors to become shareholders or to increase their existing shareholding, the company said in a statement.

“They have received strong expressions of interest from reputed international institutional investors and domestic investors,” the statement said.

The said major shareholders include A Z Holdings (Pvt) Ltd, Saraz Investments (Pvt) Ltd, Blueberry Investments (Pvt) Ltd, Amagroup (Pvt) Ltd, Murtaza Esufally, Husein Esufally, Imtiaz Esufally and Abbas Esufally.

“They consider this rights issue as an important step in expanding the capital base and providing funds for the growth plans,” the statement further said.

Hemas Holdings recently announced a 1 for 9 rights issue to raise 4.12 billion rupees of capital to tap the strategic investment opportunities in the core sectors of the group.