Sierra to divest Central Industries stake

Hiran H.SENEWIRATNE

Sierra Cables is planning to dispose 30 per cent of their stake in Central Industries Limited.

This has come into light with the recent hostile attempt made by Sierra to dispose its shares to the public, market sources said.

Central Industries Limited, a public quoted company listed in the Colombo Stock Exchange is a member of Central Finance Group which is one of Sri Lanka’s leading finance houses

Currently, 50 per cent of the shares/stakes are owned by Central Finance Company and more than 30 per cent by Sierra Cables. Therefore, Sierra Cables recently made on unsuccessful hostile attempt to make a mandatory offer, Chief Executive Officer (CEO), Central Finance Newton Wickramasuriya told the Daily News Business.

He said he is not sure with Sierra Cables stance on the divesting of their shares in the Colombo Stock Market due to the past experience with them and so far there is no board member in the Central Industries director board. Sierra Group Director Priyantha Perera was not available to get a comment.

The company has over the years diversified its manufacturing base from the initial products of Rigid PVC pipes and fittings to now include PVC solvent cement, PE Pipes, PVC Flexible Corrugated Conduits, PVC Flexible Hoses, PE Storage Tanks, Stainless Steel Storage Tanks and most recently Electrical Switches and Sockets.