Indian Hotels transfers Tal Lanka shares to subsidiary

Indian Hotels Company Ltd (IHCL) yesterday sold its total shareholding in Tal Lanka Hotels PLC, the owning company of Taj Samudra Hotel in Colombo, for Rs.850 million.
The shares, which amounted to over 34.3 million, representing a 24.62 percent of the issued capital of Tal Lanka, were sold each at Rs.25.
The shares were bought by IHOCO BV of The Netherlands, an indirect wholly-owned subsidiary of IHCL.
The buyer was represented by Acuity Stockbrokers (Pvt.) Ltd.
The share sale and purchase was part of a major restructuring plan announced by India’s Tata’s Taj Group of Hotels and Resorts in 2015, which planned to restructure its overseas operations.
As at September 30, 2015, IHCL was the second largest shareholder of Tal Lanka, following Tal Hotels & Resorts Ltd, Hong Kong, which held 58.14 percent.