The Commercial High Court has given its nod for Distilleries Company of Sri Lanka PLC (DCSL) to call an Extraordinary General Meeting (EGM) to seek shareholder approval for the major company restructuring that was announced last week by way of a share swap.
Accordingly, the EGM is scheduled to be conducted on September 6, 2016, DCSL said in a statement.
K. Kanag Iswaran, PC appeared for DCSL PLC instructed by Upendra Gunasekara, attorney-at-law, Nihal Fernando PC instructed by Sachithra Dissanayake, attorney-at-law appeared for Melstacorp Limited.
In a Colombo Stock Exchange (CSE) filing last Monday DCSL said it was seeking the approval of the courts, its shareholders and of the regulatory authorities to reorganize the company by making Melstacorp Limited its holding company.
According to the said announcement, once the required approvals are in place, Melstacorp Limited intends to issue four of its shares in exchange for a share of DCSL, making it the holding company of the DCSL group. Melstacorp Limited is also planning to seek a listing on the CSE to provide the required liquidity to its shareholders.