October, 21, 2026
Access Engineering PLC has formally notified the Colombo Stock Exchange that shareholders of South Asia Commercial and Logistics Hub Limited have mutually agreed not to proceed with the South Asia Commercial and Logistics Hub Project. The parties are entering into a settlement agreement for the orderly termination of the project and all related contracts.
According to the regulatory disclosure signed by Managing Director Rohana Fernando, the decision was made due to changes in external circumstances, including adjustments to the project's implementation environment and timetable, alongside commercial considerations among shareholders. The project was previously disclosed to the market on April 24, 2023.
Access Engineering PLC holds a 15% shareholding in South Asia Commercial and Logistics Hub Limited, having invested approximately LKR 1.762 billion into the project.
Under the agreed-upon settlement terms, Access Engineering expects to recover a total of approximately LKR 1.453 billion. This anticipated recovery consists of:
The recovery estimates are calculated based on an indicative exchange rate of USD 1 = LKR 331.
In its audited consolidated financial statements for the year ended March 31, 2026, Access Engineering had already recognized its share of losses totaling approximately LKR 387 million, bringing the Group carrying value of the investment to LKR 1.38 billion.
As a result of the expected settlement proceeds, Access Engineering does not anticipate any further material financial losses in its Group consolidated financial statements. However, because the investment is carried at cost in the standalone Company statements, a company-level loss of approximately LKR 310 million is expected to be recognized.
The company stated that final financial figures remain subject to prevailing exchange rates on payment dates, finalization of settlement arrangements, and standard accounting adjustments.
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