Wed, 18 May 2022 Today's Paper

Foreign purchaser of ETIFL assets dumps Swarnamahal Financial out of deal

25 February 2019 11:46 am - 0     - {{hitsCtrl.values.hits}}

A A A

  • Value of the deal comes down by US $ 5mn to US $ 70mn as a result
  • Several investors show interest in ETIFL, Swarnamahal Finance

 

The buyer of the troubled ETI Finance Limited’s (ETIFL) assets has decided to refrain from purchasing Swarnamahal Financial Services, thereby bringing down the value of the deal to US$ 70 million from the original US$ 75 million. 


“There is an issue regarding the Swarnamahal Financial Services PLC among the purchases, ETI and ourselves in terms of valuation. Now the purchaser says that they don’t want Swarnamahal Financial Services. Hence, The Monetary Board of the Central Bank decided to agree to US $70 million as it was the only offer that came through,” Central Bank (CB) Governor Dr. Indrajit Coomaraswamy said last week. 


He told Mirror Business that two parties have shown interest to purchase Swarnamahal Financial Services PLC. However, he noted that it’s unclear to what extent they are serious of the purchase. 


Swarnamahal Financial Services had Rs.2.5 billion worth deposits taken from 2,300 depositors as of last year. 


The Central Bank last year gave its approval to the board of directors of ETIFL to sell the assets of ETIFL to a joint venture company between Singapore-based Blue Summit Group and its local partner Ben Holdings for US$ 75 million.


So far, ETIFL has received US $54 million as payment, and US $54 million worth assets of the company have been transferred to the purchaser including EAP Broadcasting Company Ltd.
Dr. Coomaraswamy said that ETIFL has settled 20 percent of deposits of each depositor utilising that money.


After receiving the remaining US $16 million this month, he said that another 10 percent of depositors’ money would be paid back. Meanwhile, he said that another investor has put forward a proposal to invest in ETIFL to revive the troubled finance company. 


According to sources, the proposal is put forward by a foreign investor linked to Edirisinghe family. 


“There’s a proposal to invest in ETI directly. The Investor has submitted a proposal to ETI and the Monetary Board has approved it for consideration; but it’s in very early stages. 

We haven’t seen neither proof of funds nor credentials of the investor,” he said. 


ETIFL has about 24,000 depositors with Rs.33 billion in deposits. However, there’s a hole in assets and liabilities of about US $100 million. (NF)

 

 

Order Gifts to Sri Lanka. See Kapruka's top selling online shopping categories such as Toys, Vegetables, Grocery, Flowers, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,News, Courier/Delivery, Food Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka.

Sell your vehicle & house fast with hitad.lk only cost is Rs.400, Advertise in Hitad.lk for free to sell your mobile phone. Want to sell your Pet, Advertise for Free in hitad.lk Search for Houses in Sri Lanka and find the best place through Hitad.lk find your best tuition place. Find the best partner for you, visit hitad.lk Find anything at any time hitad.lk.

  Comments - 0

Order Gifts to Sri Lanka. See Kapruka's top selling online shopping categories such as Toys, Vegetables, Grocery, Flowers, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,News, Courier/Delivery, Food Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka.

 

Sell your vehicle & house fast with hitad.lk only cost is Rs.400, Advertise in Hitad.lk for free to sell your mobile phone. Want to sell your Pet, Advertise for Free in hitad.lk Search for Houses in Sri Lanka and find the best place through Hitad.lk find your best tuition place. Find the best partner for you, visit hitad.lk Find anything at any time hitad.lk.


Add comment

Comments will be edited (grammar, spelling and slang) and authorized at the discretion of Daily Mirror online. The website also has the right not to publish selected comments.

Reply To:

Name - Reply Comment




Order Gifts to Sri Lanka. See Kapruka's top selling online shopping categories such as Toys, Vegetables, Grocery, Flowers, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,News, Courier/Delivery, Food Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka.

 

Sell your vehicle & house fast with hitad.lk only cost is Rs.400, Advertise in Hitad.lk for free to sell your mobile phone. Want to sell your Pet, Advertise for Free in hitad.lk Search for Houses in Sri Lanka and find the best place through Hitad.lk find your best tuition place. Find the best partner for you, visit hitad.lk Find anything at any time hitad.lk.


The Three Universal Truths in Buddhism

Buddhism is a moral and philosophical system, which expounds a unique path of

After night of terror, activists accuse government of smokescreening

On May 9, 2022, several hours before former Prime Minister Mahinda Rajapaksa

RECOVERY OF STOLEN ASSETS – Part I

The “#gotagohome” campaign that started a few weeks back demanding the Pr

‘GotaGoGama’ rises through ashes after Monday’s nightmare

A half burned down tent standing on plastic pillars, heaps of rubble from the