Key investments and strong growth prospects in the
Renuka Agri Foods to launch IPO
Renuka Agri Foods Limited (RAFL), the only company manufacturing
coconut based products endorsed by Mawbima Lanka Foundation will launch
its Initial Public Offering (IPO) from November 27 for subscription of
Rs. 270 million for 120 million shares valued at Rs 2.25 each, said
Renuka Agri Foods Limited Executive Director Shamindra Rajiyah.
Renuka Agri Foods Limited Executive
Director, Shamindra Rajiyah. Picture by Saliya Rupasinghe
The IPO will finance new key investments, the repayment of long term
borrowings and facilitate the listing of the company’s ordinary shares
on the Colombo Stock Exchange, he said.
The company a fast growing value added coconut based industry
involved in agri based industry and the investor service sector is a
leading coconut related industry accounting for 10 percent of world
exports. Its products are exported to 52 countries across the globe and
is a home grown Sri Lankan success story, he said.
Focusing on organic growth and selective acquisitions, RAFL intends
to invest in plantations, distribution infrastructure and new
technologies via the proceeds from the IPO. RAFL foresees strong growth
prospects by expanding its business interest, moving into new packaging
technologies, intercropping coconut plantations and strengthening the
existing distribution model in Sri Lanka and Europe.
The only triple certified company, RAFL has maintained a year on year
average growth of 78 percent over the last five years.
RAFL’s principal activity is the manufacture, distribution and global
marketing of coconut based food and beverages, namely coconut milk
powder, coconut milk in aseptic packages, canned coconut milk, defatted
desiccated coconut and coconut beverages.
Featuring the most diversified coconut factory in the country, the
company utilizes alternative food processing technologies, supported by
a full research and development program for product applications and
process design and improvements.