Kerner Haus proposes 70-for-1 share subdivision

Kerner Haus Global Solutions yesterday disclosed its board has resolved to recommend a subdivision of its ordinary voting shares on a 70-for-1 basis.

The board decision, taken at a meeting held on March 6, proposes that every existing ordinary voting share be subdivided into 70 shares. If approved, the company’s issued shares will increase to 42,011,900, from the current 600,170 shares.

Kerner Haus Global Solutions PLC is a property management company providing premium serviced office spaces in Colombo & Kandy. The core business model centers on leasing these specialized office spaces to BPO/KPO operators, international SMEs, and businesses in Sri Lanka's growing outsourcing sector. 

The company said its stated capital would remain unchanged at Rs.30,358,500, meaning the subdivision would only alter the number of shares in circulation and not the underlying capital of the firm.

The proposed subdivision is subject to regulatory and shareholder approvals. The company must first obtain concurrence from the Colombo Stock Exchange before proceeding. It will also require shareholder approval through an ordinary resolution, at an Extraordinary General Meeting.

Kerner Haus noted that its Articles of Association allow the company to subdivide shares into smaller units, through an ordinary resolution of shareholders, in line with the applicable statutory provisions.