Sri Lanka’s Lotus Renewable Energy acquires Hatton Plantations in Rs. 1 billion deal
Lotus Renewable Energy of Sri Lanka, which provides intelligent renewable energy solutions, has reportedly further strengthened its portfolio with its latest acquisition of Hatton Plantations and branching out in to the crop processing area.
Hatton Plantations (HPL) is a group company of the Colombo Stock Exchange (CSE) listed under Sunshine Holdings (SUN) and Lotus is the Sri Lankan subsidiary of G&G, Singapore.
“We have long admired HPL as a world renowned and highly respected Tea Company that is by some distance the market-leader in its field. HPL will be an excellent strategic fit within the G&G Group as we invest to capture the very significant opportunities provided by the Tea Industry,” Chairman, Gary Seaton has been quoted as saying.
“We have been doing these types of acquisitions despite the volatility in the agricultural sector, and despite the disappointing overall risk laden market prognosis, due to the Easter Sunday Attacks. G&G specializes in unblocking underutilized companies and their potential, which is why we made this acquisition despite the current risk perceptions,” Director, Lotus, Gowri Shankar has said.
According to reports, Lotus previously acquired Lotus Hydro Power (formerly Browns) and Zyrex Power, in a rapid expansions spree within just three years.
Indrajith Fernando, Director Lotus Hydro has reportedly said,” Strategic investor G&G and Lotus has great potential, and mega investment plans”.
“Lotus’s acquisition of Hatton Plantations is another in a series of potential major investments in Sri Lanka. It’s a growth opportunity for Lotus through an extended operational boost combining both Lotus’s and HP’s strengths. G&G the parent Company of Lotus, has cast its net wide, with interests in Strategic sectors renewable energy and sustainable agriculture,” Fernando has further noted.
“This investment also marks our strong commitment to Sri Lanka and the competitive advantage provided by the deep pool of talent in Sri Lanka,” Menaka Athukorala, Director of Lotus Renewable Energy has noted.
Lotus is G&G’s local subsidiary and since its inception, Lotus’s business and service orientation has evolved to meet the unique demands of the dynamic and maturing renewable market.
Lotus operates across India, Sri Lanka, Singapore and Australia.
OSL take:
The acquisition announced by Sri Lanka’s Lotus Renewable Energy is an indication of the growth and strength of the country’s private sector. The business conducive environment in Sri Lanka encourages the development and expansion of local companies. The government of Sri Lanka is continuously improving the ease of doing business environment in the country and the country’s geographical positioning in the Indian Ocean has added to the global business interest in the island as well. All these together makes Sri Lanka the ideal business destination in South Asia. Foreign businesses/investors could confidently explore business/investment opportunities in Sri Lanka.
| Article Code : | VBS/AT/20062019/Z_7 |