Battle Values

July 13, 2008 (LBO) – Sri Lanka’s Stassen group controlled by tycoon Harry Jayewardene had been valued at over 24 billion rupees (228 million US dollars) by his partners who are in courts to force a buyout of their interests, a media report said. The Sunday Island newspaper said V P Vittachchi, R K Obeysekera and Zaki Alif who are directors of Stassen Exports and Milford Exports (Ceylon) Ltd, the holdings companies of the group, had got the valuation through Ernst & Young of Singapore.

The accountants had placed a value of between 27.3 billion rupees and 22.03 billion with a median value to 24.67 billion rupees on the Stassen group, the newspaper said quoting court documents.

The group controls Sri Lanka Insurance Corporation, Hatton National Bank, Distilleries Company, Aiken Spence, Lanka Milk Foods, DFCC Bank and has an indirect stake in Commercial Bank of Ceylon.

Jayewardene had place a counter valuation for the group at 2.6 billion through KPMG India, the report said.

Jayewardene’s partners had offered to sell their stakes in Stassen, Milford and CBD Exports (through which they bought into the Hatton National Bank) to Jayewardene based on the median value placed by Ernst and Young.

His partners had offered to b