Band Aid

The extra addition is estimated to cost around Rs. 680 mn, and the firm plans to raise the money through a combination of preference shares to existing shareholders and public offering, its Chairman Dr. Prathap C Reddy told Lanka Business Online.

rnrnHatton National Bank (HNB) has secured the mandate to raise the funds at a Rs. 5.00 premium.

rnThe Indian based Apollo Hospitals Group will reduce its 34 percent equity stake to 31 percent following the public offering.

rnThe other remaining shareholders includes the International Finance Corp. (10 percent), National Development Bank (10 percent), Sri Lanka Insurance Corporation (20 percent), Property Development Ltd (a subsidiary of Bank of Ceylon 18 percent), apparel exporter Bob Kundanmal (10 percent) and businessmen Hussain Yusufally (8 percent).

rnrnThe hospital was earlier estimated to cost around Rs. 2 bn. But Apollo Chairman, Dr. Pratap C Reddy told Lanka Business Online in April that an anticipated demand, prompted the promoters to add a further