Wednesday, 27 August 2014

Ceylon Leather Products earns Rs 80.8 m PAT

Ceylon Leather Products has increased the company's gross turnover by 38.9% compared to last year inspite of the uncertain marketing environment. Overall the current financial year under review earned a net profit of Rs 80.8 m after providing a provision of Rs 50.5 m for impairment of investment as compared to Rs 133.2 m previous year,Ceylon Leather Products Chairman Neville Peiris, said in the company's annual report for 2013-2014 .

"It was very encouraging to note that South Asia Textile Industries Lanka of which 51.5% is owned by Ceylon Leather Products has turned around favourably and making good progress in the current year. South Asia Textile Industries Lanka completed a Rights Issue to the existing Shareholders of the Company offering Eight Ordinary Shares for every One Ordinary Share at a price of 0.10 cts a Share.

Ceylon Leather Products subscribed in full for their Rights entitlement by investing Rs. 306.4 million. Consequent to the Rights issue Ceylon Leather Products now owns 80.39% of the Issued Share Capital of South Asia Textile Industries Lanka.

Funds raised from the Rights Issue will be used to modernize the machinery at the factory. www.dailynews.lk

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