Shares of Agarapatana Plantations will trade as “AGPL” on the CSE

Subsequent to the successful conclusion of its heavily oversubscribed IPO, Agarapatana Plantations Limited has announced that its shares will begin trading on the Diri Savi Board of the Colombo Stock Exchange, under the ticker symbol, “AGPL”. The announcement comes as the Company, together with the Managers to the Issue, has completed the allotment of shares and fulfilled all of the other listing and regulatory requirements of the Colombo Stock Exchange and the Securities and Exchange Commission of Sri Lanka. Accordingly, the shares of AGPL are expected to commence trading on the Colombo Stock Exchange with effect from 4th September 2023.

The Issue saw 83,070,111 or 16.61% of the Ordinary Voting Shares of Agarapatana Plantations Limited being offered to the Public at an Issue Price of LKR 9.00 per share, with the Company seeking to raise a total of LKR 747,630,999/-. However, the Company received LKR 1,477,609,200/- worth of total subscriptions, resulting in the offer being oversubscribed.

Thus, special care has been taken to ensure that allotments have been made fairly and in a transparent manner, in accordance with the basis of allotment disclosed in its prospectus. Meanwhile, Agarapatana Plantations Limited now looks forward to utilizing the capital it has raised to fulfil its stated objectives. The Company takes this opportunity to thank its new investors and looks forward to delivering on its commitments.

In its prospectus, the Company disclosed its stated objectives for the capital raised as follows – LKR 672.6 million to develop its factories into “State-of-the-Art Processing Centres” by investing in new technology and gradually replacing old machinery with modern equipment, while allocating LKR 75 million towards reducing financing costs through high-cost debt retirement.

Agarapatana Plantations Limited focuses on growing and producing Ceylon Tea, and holds well-established Garden Marks, under the Western-High and Uva-High elevation categories, at the Colombo Tea Auction. The Company also has extensive access to green leaf from smallholders, allowing for scalability in production. It has developed the Historical Site of Lipton’s Seat for tourism, and is exploring creating value through its other facilities located within proximity to tourist hotspots. The company also prioritizes renewable energy and sustainable practices, and generates its own hydropower with further plans to expand this capacity. Agarapatana Plantation Limited’s recent IPO offered investors a valuable opportunity to invest in Sri Lanka’s tea plantation sector, which is expected to yield sustainable returns and provide insulation from exchange rate risks over the medium to long term.