CEAT Kelani Holdings Managing Director Ravi Dadlani (right) and Lanka Ashok Leyland CEO Umesh Gautham exchange the OEM agreement

Singer Sri Lanka plans to retire some its short-term borrowings with a Rs. 400 mn four-year debenture issue coming out in March.
Singer is keen to reduce its interest cost further after cutting down its 2003 average interest rates to 11.6 percent from 14.2 percent previously. rn

rnThe issue, structured by First Capital Ltd, will be unlisted and placed primarily among institutional investors, its Chairman Hemaka Amarasuriya said.rn

rnSingers long-term debt carries a SL A national rating from Fitch Ratings Lanka Ltd. rn

rnSL A rating denotes a low expectation of credit risk. The capacity for timely payment of financial commitments is considered strong. rn

rnThe new issue will also be rated, Amarasuriya said.rn

rnA leading retailer of consumer durables, Singer claims the market leader position in its main product lines (i.e. sewing machines, refrigerators and televisions), which account for about two thirds of revenue.rn

rnThe consumer goods retailer recorded Rs. 6.2 bn in revenues for 2003, up 23 percent and posted a net income of Rs. 378.3 mn up 79 percent over 2002. rn


-LBO Newsdesk: LBOEmail@vanguardlanka.comrn

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