Lanka Walltiles PLC has announced its intention to raise 5.01 billion rupees through a rights issue, offering 8 new shares for every 17 ordinary voting shares currently held, according to a recent market notification.
The company will issue 128,470,588 new ordinary voting shares at a price of 39 rupees each. The proceeds from this rights issue are earmarked for the partial settlement of the company’s existing bank debts, as well as overdue inter-company trade and other interest-bearing payables.
Lanka Walltiles emphasized that addressing these financial obligations will significantly enhance its overall financial stability and capital structure.
Submit Your Press Release
Get your company news, announcements, launches, appointments and events in front of a wider audience.
Currently, the company has 273 million ordinary voting shares in circulation, with a stated capital amounting to 787.76 million rupees. Furthermore, Lanka Walltiles plans to merge with its wholly owned plantation subsidiary immediately following the completion of the rights issue.
This proposed merger will be dependent on the company meeting the solvency test as stipulated in regulatory requirements once the rights issue is finalized. The rights issue and the ensuing merger are still subject to approval from both regulatory authorities and shareholders. (Colombo/Oct 02/2026)
