Business
Nestle Lanka goes private; ends 40-year listed status
By Hiran H. Senewiratne
Nestle Lanka announced a decision to go private, ending its 40- year status as a listed company in the CSE. The move was made by the Nestle Lanka Board and is subject to shareholder and regulatory approvals, share market sources said.
Currently majority of its shares amounting to 91.95 per cent is owned by its parent company, Nestle S.A. The latter will purchase the remaining 8.05 per cent shares from those wishing to divest at Rs. 1,500 per share.
The public shareholding of 1983-listed Nestle Lanka is 8.05 per cent, held by 6,054 shareholders. As at December 31, 2022, net asset value per share was Rs. 199.95 (up from Rs. 157 in 2021).
The delisting was announced after the market closed with the share price unchanged at Rs. 1,120.25. In FY22, the highest price was Rs. 964.75 (down from Rs. 1,330 in FY21), lowest was Rs. 870 (versus Rs. 1,200 in FY21) and closed 2022 at Rs. 905, down from Rs. 1,215.50 in 2021.Earlier, announcing the company’s decision to delist from the CSE, a Nestle Lanka press release said, among other things:
‘The company has been actively seeking ways to have a more efficient operation to enhance its contribution to the country even further. Therefore, our Board of Directors has authorized the proposal to delist Nestlé Lanka from the Colombo Stock Exchange, subject to necessary approvals and clearances. The delisting will also help the company strengthen its focus on core business activities, whilst upholding Sri Lanka’s statutory reporting and compliance requirements.
“We would like to thank our valued shareholders for continuing to place their trust in us and for the constant support offered over the years. We strongly believe that this proposal is in the best interest of our shareholders and assure that they would be rewarded with an attractive and fair premium. As in the past, we will work with communities and bring high quality products to our valued Sri Lankan consumers, whilst doing good for the planet. We will continue to drive efficiencies whilst focusing on delivering on our promise to the country and its people” said Bernhard Stefan, Managing Director of Nestlé Lanka.
‘Driven by its purpose of ‘unlocking the power of food to enhance quality of life for everyone, today and for generations to come’, Nestlé has nourished generations of Sri Lankan families with high quality food and beverage products from early childhood to old age. Having started its operations in Sri Lanka in 1906, today, Nestlé has become an integral part of Sri Lankan lives. The company manufactures over 90% of its products sold in Sri Lanka locally at their state-of-the-art factory in Kurunegala, employing strict safety and quality controls.’
Amid those developments CSE trading activities were positive yesterday and the turnover recorded was the lowest after 52 weeks. Trading ended at 12 noon. Both indices moved upwards. The All- Share Price Index went up by 30.4 points and S and P SL20 rose by 26.7 points. Turnover stood at Rs 127 million without any crossings.
In the retail market top seven companies that mainly contributed to the turnover were, Melstacorp Rs 30.1 million (556,000 shares traded), Lanka IOC Rs 21.9 million (138,000 shares traded), Expolanka Holdings Rs 20.9 million (134,000 shares traded), Seylan Bank Rs 15.5 million (551,000 shares traded), Browns Investments Rs 13.5 million (2.5 million shares traded), Aitken Spence Hotels Rs12.1 million (206,000 shares traded) and Sampath Bank Rs 11.9 million (253,000 shares traded). During the day 12.7 million share volumes changed hands in 4500 transactions.
It is said high net worth and institutional investor participation was noted in JKH and Royal Ceramics. Mixed interest was observed in Lanka IOC, Expolanka Holdings and Dialog Axiata, while retail interest was noted in Browns Investments, SMB Leasing and LOLC Finance.
The Capital Goods sector was the top contributor to the market turnover (due to JKH and Royal Ceramics), while the sector index gained 0.75 per cent. The share price of John Keells Holdings increased by 25 cents to Rs. 135.75. The share price of Royal Ceramics appreciated by 20 cents to Rs. 27.
The Food, Beverage & Tobacco sector was the second highest contributor to the market turnover (due to Browns Investments), while the sector index increased by 0.79 per cent. The share price of Browns Investments recorded a gain of 10 cents to settle at Rs. 5.40.Yesterday the Central Bank’s US dollar buying rate was Rs 312.50 and the selling rate Rs 326.62.
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.”
US sports envoys to Lanka to champion youth development
Rahuman questions sudden cancellation of leave of CEB employees
