Sri Lankan government shortlists India’s Gio and Chinese fund for Sri Lanka Telecom
Daily FT: The Government has shortlisted India’s Jio and China’s Gortune International Invest Holdings for the Request for Proposal (RfP) stage of the sale of 50.3% stake in Sri Lanka Telecom.
The move follows the pre-qualification of the two parties by the Cabinet Appointed Special Project Committee and Special Cabinet Appointed Negotiating Committee. The other bidder who responded to Request for Qualification (RfQ) Portugal based Pettigo Comercio International LDA allegedly linked to Lyca Group of UK wasn’t recommended.
The International Finance Corporation (IFC) acts as the Transaction Advisor for the sale.
OSL take:
Sri Lanka’s ongoing programme to restructure state owned enterprises (SOEs) has presented many business/investment opportunities to foreign businesses/investors. The restructuring of SOEs is also aimed at further pushing the country’s economic growth through the improvement of productivity and revenue generation of the identified enterprises. The interest shown by leading business ventures in the region to invest in the SOEs marked for restructuring is indicative of the growth and business potential in Sri Lanka. With Sri Lanka working towards becoming an emerging business destination in the South Asian region and the country’s geographical positioning in the Indian Ocean as well as the strong trade ties, there will be a steady growth in the business/investment opportunities covering the key economic sectors. The profits recorded by Sri Lanka’s private sector even amidst challenging economic conditions and the strength and resilience shown by the country’s overall economy serve as confidence boosters for foreign businesses/investors to explore opportunities in the country.
| Article Code : | VBS/AT/20240214/Z_2 |