Sri Lanka’s Commercial Bank of Ceylon is planning to raise 9.7 billion rupees (equiv. $88 dollars) by way of a rights issue. It says that the purpose of the rights issue is to raise funds for business expansion.
The rights issues will be followed by a stock split to lower the share price and increase the number of shares in circulation. It plans to release 50.9 million new ordinary voting shares.
Terms of the rights issue:
- Rights entitlement: 1 new share for every 7 shares held
- Call price: 181.65 rupees
The following Stock split will be at a 2 for 1 ratio to double the number of shares in circulation.
$1 is around 110 Sri Lanka Rupees (24/05/11)
Commercial Bank of Ceylon Ltd. (Public, COL:COMB)
Company website: www.combank.net