John Keels Holdings PLC (JKH) in a disclosure to the Colombo Stock Exchange announces that the Board resolved to Offer to repurchase One (1) out of every Twenty (20) ordinary voting shares at a price of Rs. 160.00 per share, dates of which will be notified in due course.

The offer to repurchase shares amounting to a potential outlay of Rs. 11.10 billion reflects the view of the Board and management that the JKH share is currently not reflective of the value of the company and does not adequately represent the growth prospects of the company and therefore presents an opportunity for the company to repurchase its shares. Further, the strength of the JKH Balance Sheet, along with exiting cash reserve, is more than adequate to fund the Company’s planned investment pipeline while retaining its track record of dividend payout.

With funding for the ongoing Cinnamon Life project fully secured, and funding in place for all planned investment across its core verticals over the next few years, JKH will continue to retain healthy cash reserves and the balance sheet flexibility, post the repurchase, to pursue further investment opportunity as they arise.