December, 22, 2020
Asia Capital enters into share purchase agreement to buy 70% stake of Navara Capital Partners
Asia Capital PLC (ACAP) the country’s leading and pioneering investment banking house recently announced to Colombo Stock Exchange (CSE) that the company has entered into a share purchase agreement on 21st December 2020 to acquire 70% stake of Navara Capital Partners Ltd. (NCPL)
Speaking on the developments in the Asia Capital PLC (ACAP) Chief Executive Officer Stefan Abeyesinhe said that upon acquisition of NCPL, Asia Capital will re-enter and recommence Stock Broking business at a time when capital markets in the country are performing well due to policy certainty prevailing the current economic landscape of the country.
“Navara Capital Partners is currently carrying out business as an investment holding company and the company is having a 95% stake of Navara Securities. So we hope to recommence our stock broking business shortly which is part of our expansion plan” Abeyesinhe added.
The disclosure to CSE highlighted that ACAP will acquire 3,536,400 ordinary voting shares representing 70% of NCPL held by Navara Capital Ltd as per the agreement entered by the parties.
Recently the company announced that the management is on the process of relooking and focusing on Asia Capital’s astute investors in order to financially re-engineer the asset base.
According to Abeyesinhe the company has now undergone the initial restructuring phase since the appointment of Nishan Sumanadeera lead Frontier Capital Partners as the Legal and Financial Consultant to ACAP group in September this year by key shareholders.
“The management will focus on expanding into new business avenues to broad base group’s revenue streams” Abeyesinhe said adding that the new acquisition has been facilitated by the expertise and consultancy of Frontier Capital Partners Ltd, as the consultant to ACAP group.