Sri Lanka Panasian Power to buy more hydro capacity

ComBank MD S. Renganathan (Centre) introducing the app to CB Governor Indrajit Coomaraswamy in the presence of (from L) ComBank Manager - Card Centre Seevali Wickramasinghe, Head of Card Centre Thusitha Suraweera, Deputy GM – Marketing Hasrath Munasinghe, CB Assistant Governor Ananda Jayalath and CB Director - Payments & Settlements Dharmasri Kumaratunge

June 14, 2011 (LBO) – Sri Lanka’s Panasian Power said it had signed a deal to buy a mini hydro firm that had 6.5 MegaWatts of capacity under development, at valuation to be decided later. The firm had signed a memorandum of understanding with Padiyapelella Hydro Power (Pvt) Ltd to buy the firm at a valuation made by a “reputed bank” the firm said in a stock exchange filing.

The firm had a 3.5 MW plant which will start selling power to the national grid from January 2012 and had a deal with the power utility to expand the capacity by another 3MW.

Panasian stock has been subject to speculative trading in recent days.