Sri Lanka’s Hemas right issue raised Rs4.1bn supporting it’s expansion plan

May 14, 2015 (LBO) – Sri Lanka’s Hemas Holdings said that it successfully completed the rights issue raising 4.1 billion rupees of new capital to finance its expansion plans in healthcare and personal care.

“We are working hard on achieving our vision of being the best at enriching lives through our activities in healthcare, personal care, leisure and transportation,” Steven Enderby, Group Chief Executive said in a media statement.

“We have made a number of key strategic moves recently through the acquisition of JL Morison which has enhanced our presence in pharmaceuticals, the development of our personal care business in Bangladesh and the opening of our third hospital, while divesting our shares in power.

It is important for us to have the capital base to continue this growth trajectory while becoming increasingly focused on our strong presence in healthcare and personal care. We thank our shareholders for the confidence placed in our business.”

The company said the major shareholders of Hemas, the Esufally family, decided not to subscribe for their rights in order to enable other parties who expressed interest to become shareholders or increase their shareholding.

As a result of the Rights Issue being fully subscribed to, the shareholding of the major shareholder (Esufally family) reduced from 71.26 percent to 64.14 percent.

Hemas Holdings was advised in this capital raising by CT CLSA Capital (Pvt) Ltd.

The Hemas Group is one of the leading conglomerates in Sri Lanka with a focus on four key sectors, namely Fast Moving Consumer Goods, Healthcare, Transportation, and Leisure.