Orient Finance issues Rs.400mn in preference shares

Orient Finance PLC, which was relisted on the Colombo Stock Exchange earlier this year, will be raising Rs.400 million through the issuance of five-year, redeemable preference shares to meet its capital adequacy requirements.
One new preference share will be issued for every 37 existing ordinary shares, for which the company’s existing shareholders can subscribe to.
The preference shares will not be listed on the Colombo Stock Exchange.
Four million shares will be issued, valued at Rs.100 per share. The current stated capital of the company is Rs.1.38 billion, spread across 148 million ordinary shares.
The issuance is subject to shareholder and the Securities and Exchange Commission approval.
Janashakthi PLC owns 89.81 percent of the shares in Orient Finance, while BG Investments (Pvt.) Ltd and Dunamis Capital PLC own 3.15 percent and 1.62 percent, respectively.