Sri Lanka tea estate in iced tea project with US firm

Chandi Dharmaratne

April 01, 2010 (LBO) – Sri Lanka’s listed Bogowantalawa Tea Estates said it was starting a two million dollar iced tea unit with a US firm in which the firm would take up a 25 percent stake. The joint venture will export packaged iced tea to the United States.

The company said it was teaming up with Walters Bay, a firm incorporated in Austin, Texas.

A Sri Lankan joint venture, Walters Bay Bogowantalawa Tea Estates (Pvt) Ltd, has been incorporated with tax concessions from the Board of Investment, Sri Lanka’s state investment promotion agency.

Bogowantalawa Tea Estates said in a stock exchange filing it would pay 65,000 US dollars for a 25 percent equity stake in the project,