Business
Fifty per cent tax incentive prompting more and more companies to go for IPOs
By Hiran H.Senewiratne
The government’s 50 percent tax incentive for new companies to be listed in the CSE will come to an end on December 31 this year. Therefore, several companies are using that opportunity to enter the capital market by way of Initial Public Offerings (IPO), CSE- Head of Marketing Niroshan Wijesundera said.
Wijesundera said that to promote the listing of local companies with the CSE, Prime Minister and Finance Minister Mahinda Rajapaksa had proposed a 50 per cent tax concession for the years 2021/2022 to be availed of before December 31, 2021, and to maintain a corporate tax rate of 14 per cent for the subsequent three years of these opting entities.
Amid those developments, trading activities at the CSE were positive at the beginning yesterday but later the market turned negative. But considerable buying interest was witnessed in plantations, manufacturing and consumer related sectors in the market, stock market analysts said.
Due to price increase in retail and consumer items in the market, the consumer sector witnessed profitability. Further, manufacturing sector entities, such as tile sector counters, also witnessed price appreciation in the stock market. Plantation sector was exceptional yesterday and its prices appreciated in a notable manner.
During the day both indices moved downwards. All Share Price Index went down by 18.54 points and S and P SL20 declined by 0.23 points. Turnover stood at Rs 7.5 billion with two crossings. Those crossings were reported in Renuka Holdings. which crossed two million shares to the tune of Rs 36.2 million and its shares traded at Rs 17.60 and Kelani Valley Plantations 350,000 shares crossed for Rs 20.3 million and its shares traded at Rs 58.
In the retail market top seven companies that mainly contributed to the turnover were, Browns Investments Rs 1.3 billion (106 million shares traded), LOLC Holdings Rs 693 million (746,000 shares traded), Sunshine Holdings Rs 584 million (15.2 million shares traded), Expolanka Holdings Rs 562 million (2.4 million shares traded), Agalawatte Plantations Rs 414 million (8.6 million shares traded), Browns Investments Rs 397 million (1.6 million shares traded) and LOLC Finance Rs 359 million (14.4 million shares traded).
During the day plantation sector companies made considerable gains. Agalawatte Plantations share price appreciated by 24 percent or Rs 9.50. Its shares started trading at Rs 40.20 and at the end of the day they shot up to Rs 49.70, Watawala Plantations share price appreciated by 11 percent or Rs 11.75. Its shares shot up to Rs 121.25 from Rs 109.50 and Kelani Valley Plantations share prices appreciated by 11 percent or Rs 5. Its shares increased to Rs 59.70 from Rs 54.10.
It is said that high net worth and institutional investor participation was noted in Brown & Company and LOLC Holdings. Mixed interest was observed in Bogala Graphite Lanka, Expolanka Holdings and ACL Cables, while retail interest was noted in Browns Investments, Lanka Orix Finance and Sierra Cables. During the day 516 million share volumes changed hands in 54000 share transactions.
Meanwhile, Capital Alliance Limited (CALT) will list its equity shares on the Colombo Stock Exchange (CSE) via an Initial Public Offering tomorrow. The CALT IPO has gained significant traction and is highly anticipated by investors.
CALT offers 41,177,236 ordinary shares for a 12.5 per cent stake to the public, priced at Rs 10 per share. The IPO price per share provides a discount of 18.64 per cent to an incoming investor compared to the Rs.12.29 price per share derived by the Independent Valuer, Ernst and Young Transaction Advisory Services.
Yesterday, the US dollar rate was quoted at Rs 200.77, which was the Central Bank controlled rate. The actual market rate is more than the Rs 140 level.
The Delegation of German Industry and Commerce in Sri Lanka (AHK Sri Lanka) proudly facilitated the first-ever Sri Lankan delegation’s participation at Drupa 2024, the world’s largest trade fair for the printing industry and technology. Held after an eight-year hiatus, Drupa 2024 was a landmark event, marking significant advancements and opportunities in the global printing industry.
AHK Sri Lanka played a pivotal role in organising and supporting the delegation, which comprised 17 members from the Sri Lanka Association for Printers (SLAP), representing eight companies from the commercial, newspaper, stationery printing, and packaging industries. This pioneering effort by AHK Sri Lanka not only showcased the diverse capabilities of Sri Lanka’s printing sector but also facilitated vital bilateral discussions with key stakeholders from the German printing industry.
Business
Unveiling Ayugiri: Browns Hotels & Resorts sets the stage for a new era in luxury Ayurveda Wellness
In a captivating reimagining of luxury wellness tourism, Browns Hotels & Resorts proudly unveiled the exquisite Ayugiri Ayurveda Wellness Resort Sigiriya. This momentous occasion, celebrated amidst a vibrant and serene grand opening on the 6th of June, heralds a new chapter in the Ayurveda wellness tourism landscape in Sri Lanka. Nestled amidst 54 acres of unspoiled natural splendour, Ayugiri features 22 exclusive suites and stands out as the only luxury Ayurveda wellness resort in the country offering plunge pools in every room, rendering it truly one-of-a-kind.
The grand opening of Ayugiri Ayurveda Wellness Resort was an enchanting event, where guests were captivated by the melodies of flutists and violinists resonating through Sigiriya’s lush landscapes. As traditional drummers and dancers infused the air with vibrant energy, Browns Hotels & Resorts’ CEO, Eksath Wijeratne, Kotaro Katsuki, Acting Ambassador for the Embassy of Japan and General Manager, Buwaneka Bandara, unveiled the resort’s new logo, marking a significant moment witnessed by distinguished guests from the French Embassy, Ayurveda and wellness enthusiasts along with officials from the Sigiriya area, LOLC Holdings and Browns Group.
“Our strategic expansion into wellness tourism with Ayugiri Ayurveda Wellness Resort Sigiriya symbolises a significant milestone for Browns Hotels & Resorts. Wellness tourism has consistently outperformed the overall tourism industry for over a decade, reflecting a growing global interest in travel that goes beyond leisure to offer rejuvenation and holistic well-being. By integrating the timeless wisdom of Ayurveda with modern luxury, we aim to set a new standard in luxury wellness tourism in Sri Lanka. Whether your goal is prevention, healing, or a deeper connection to inner harmony, Ayugiri offers a sanctuary for holistic well-being” stated Eksath Wijeratne.
Ayugiri encapsulates the essence of life, inspired by the lotus flower held by the graceful queens of the infamous Sigiriya frescoes. Just as the lotus emerges from the murky depths, untainted and serene,
Ayugiri invites guests on a journey of purity and rejuvenation, harmonised with a balance of mind, body and spirit, the essence of nature, echoes of culture and the wisdom of ancient Ayurvedic healing.
HNB General Insurance, one of Sri Lanka’s leading general insurance providers, has been honored as the Best General Bancassurance Provider in Sri Lanka 2024 by the prestigious Global Banking and Finance Review – UK.
The esteemed accolade underscores HNB General Insurance’s unwavering commitment to excellence and its outstanding performance in the field of bancassurance. Through dedication and hard work, the HNB General Insurance team has continuously endeavored to deliver innovative insurance solutions, cultivate strong relationships with banking partners, and provide unparalleled service to customers nationwide. This recognition is a testament to the team’s dedication and relentless pursuit of excellence in the bancassurance business.
“We are honored to receive this prestigious award, which reflects our team’s tireless efforts and dedication to delivering value-added insurance solutions and exceptional service through our bancassurance partnerships,” said Sithumina Jayasundara, CEO of HNB General Insurance. “This recognition reaffirms our position as a trusted insurance provider in Sri Lanka and motivates us to continue striving for excellence in serving our customers and communities.”
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