Sri Lanka’s Browns group yesterday cut its exposure to mini hydropower sector by divesting the controlling stake of its mini hydro subsidiary Browns Hydro Power PLC. Accordingly, Browns Power Holdings (Pvt.) Ltd and Pussellawa Plantations Ltd, both Browns group subsidiaries, yesterday divested their collective shareholding of 67 percent in Browns Hydro Power PLC in a Rs.519 million deal. Both parties held 37,044,056 shares each and the divestment of shares was carried at Rs.7 per share.
The buyer of the shares was Lotus Renewable Energy (Pvt.) Ltd, of which not much detail is available in the public domain.
Since the deal triggered the 30 percent rule of the Mergers and Acquisition Code of the Securities and Exchange Commission, Lotus Renewable Energy is expected to call a mandatory offer to purchase the remaining shares of Browns Hydro Power PLC.