CAL’s Rs.1.58bn IPO oversubscribed unprecedented 10 times

Capital Alliance Holdings Limited’s (CALH) Rs.1.58 billion initial public offering (IPO) was oversubscribed an unprecedented 10 times.

“I am delighted to see interest of over Rs.15 billion in our IPO. It is a vote of confidence for the future of capital markets in Sri Lanka. We are grateful to all our stakeholders and the investing public for their support,” CALH CEO Kanishke Mannakkara told Mirror Business.

CALH’s IPO offering of 157,500,000 shares, at an issue price of Rs.10, was met with overwhelming investor interest and was fully subscribed within a few hours of opening on Thursday. Consequently, the subscription list for the IPO closed at 4:30 p.m. on Thursday, May 8, 2025.

CALH accepted all applications received until the close of business on Thursday.

The basis of allotment is expected to be notified to the Colombo Stock Exchange (CSE) in due course.

Through the IPO, the company will list 7.6 percent of its stake, equivalent to 157.5 million shares, on the Main Board of the CSE. The shares were offered at Rs.10 each, representing a 21 percent discount, compared to the company’s September valuation of Rs.24 billion. Following the IPO, CALH’s market capitalisation is projected to reach Rs.20.7 billion.

Nearly half of the IPO proceeds will be allocated to fund CALH’s expansion into Kenya, which is targeted for completion within one year.

(NF)