Overseas Realty in Rs.7.3bn cash call to fund mixed development project

Overseas Realty PLC, the owning company of the World Trade Centre, said it was raising Rs.7.3 billion by way of a rights issue. To this end, the company plans to issue 335 million new shares at a price of Rs.20.50 each, in the ratio of two new shares for every five existing shares. The money is raised to invest in the company’s mixed development project, Havelock City. Havelock City comprises of residential and commercial components. Upon completion, the project would consist of eight residential apartment towers, a shopping mall and an office tower.

The current stated capital of the company is Rs.11.2 billion. The rights issue is subjected to the shareholder and Colombo Stock Exchange approval