HNB Finance’s rights issue oversubscribed

HNB Finance PLC (HNBF) successfully completed its rights issue with both its voting and nonvoting share issues being oversubscribed.  The board of directors of HNBF resolved on January 3, 2025, to issue 358,245,963 of new ordinary shares and raise approximately Rs.1 billion of additional capital for the company. 

At the Extraordinary General Meeting held on February 24, 2025, the shareholders duly passed the resolution approving the said rights issue. Marking the successful completion of the process, the rights issue was oversubscribed, reflecting strong investor confidence in HNBF. The proceeds raised will strengthen the company’s capital adequacy ratios and support the expansion of the lending portfolio, driving its long-term growth strategy. 

“HNBF remains resolute in its commitment to fostering financial inclusion and making a meaningful impact on communities. The new capital will be utilised to allocate resources in underserved segments and geographical locations to drive a more inclusive growth, thereby contributing to Sri Lanka’s broader economic progress,” stated HNBF Chairman Rajive Dissanayake. 

HNBF Managing Director and CEO Chaminda Prabhath underscored the company’s strategic focus on digitalisation and automation. He highlighted that HNBF has been at the forefront of introducing technology-driven initiatives aimed at optimising workflows and enriching customer interactions.

“The automation of services and seamless integration of digital platforms will not only enhance operational efficiency but also elevate customer experience. These advancements are pivotal in driving HNBF’s growth as a business and positioning it as a proactive contributor to Sri Lanka’s economic development,” he further remarked. 

The company expresses its sincere gratitude to the shareholders for their unwavering trust and support, which have been instrumental in the successful completion of the rights issue at this moment of celebration.