Kotagala Plantations to divest 31% stake in Imperial Hotels

Kotagala Plantations PLC announced a strategic divestment of its 31.15 percent stake in Imperial Hotels Ltd., selling 4.5 million shares to Consolidated Tea Plantations Ltd. (CTPL) for Rs. 219.2 million. 

The transaction, formalised through a Share Sale & Purchase Agreement on 6 February 2026, will see payment settled within a year under the terms agreed.

The move forms part of a wider restructuring of shareholdings within the Hotels Sector of the Colombo Fort Land and Building Group, the ultimate parent of Kotagala Plantations. 

The company confirmed that the sale qualifies as a Related Party Transaction under Sri Lanka Accounting Standards. The Related Party Transactions Review Committee stated that the deal was conducted on normal commercial terms and did not adversely affect the interests of the company or its minority shareholders, noting that no independent expert opinion was sought.

For the financial year 2025/26, the aggregate value of all related party transactions between Kotagala Plantations and CTPL stands at Rs. 397 million (unaudited), with non-recurrent related party transactions totaling Rs. 374 million, inclusive of this divestment.