Asia Capital to buy 70% stake of Navara Capital Partners | Sunday Observer

Asia Capital to buy 70% stake of Navara Capital Partners

27 December, 2020

Asia Capital PLC (ACAP) recently notified to the Colombo Stock Exchange (CSE) that the company has entered into a share purchase agreement on December 21, 2020 to acquire 70% stake of Navara Capital Partners Ltd. (NCPL)

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 said.

The disclosure to the 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 broadbase the group’s revenue streams,” Abeyesinhe said.