Sri Lanka’s Dunamis Capital in talks to sell shares of First Capital
Friday July 26, 2019 09:20
ECONOMYNEXT- Sri Lanka’s Dunamis Capital Plc, said that it is looking to sell shares of its subsidiary First Capital Holdings Plc, an investment bank, with discussions with an investor at a preliminary stage.
Dunamis Capital said that it had become aware of unusual trading in First Capital stock on July 24, and that there is market speculation of a possible acquisition of the subsidiary.
The parent said that there are discussions with a prospective investor to buy shares of First Capital.
"However, the board wishes to strongly emphasize that the discussions are at a preliminary stage," Dunamis Capital said.
A final deal will depend on several conditions including due diligence, corporate approvals and being able to finance the share purchase, the firm said.
Dunamis Capital said that there is uncertainty of the prospective buyer being able to arrange financing.
The Schaffter family controls Dunamis Capital, which owns the real estate firm Kelsey Developments Plc in addition to First Capital.
Dunamis Capital and related parties control 83.14 percent of First Capital. (Colombo/Jul26/2019)