Diversified conglomerate Finlays Colombo PLC announced that it will be delisting the entity from the Colombo Stock Exchange, subject to shareholder and regulatory approval.
London-based James Finlay Limited, which owns 96.68 percent of the shares in the local subsidiary, will purchase the remaining shares at a consideration of Rs.302 per share.
According to the minimum public float rules set to be enforced in December 2016, a company on the Main Board should have a minimum public shareholding of 20 percent.
The parent company had shown its intention to consolidate its presence in the past, increasing the then 77.48 percent ownership to the current levels in 2010.
Its market capitalization is Rs.9.1 billion. For the quarter ended June 2015 the assets of the company were valued at Rs.7.39 billion, while the total equity was Rs.5.92 billion. The net asset per share ratio was Rs.168.99.
The group net profits for the quarter increased 85 percent year-on-year to Rs.116.26 million.
Finlays Colombo engages in tea blending, packing and warehousing for exports, logistics and courier services, environmental services such as pest control and hygiene, insurance brokering and airline ticketing.
It owns the largest cold storage operations in the country and operates as the general sales agent for Cathay Pacific Airlines till end of this year.