Reefcomber PLC Rights Issue oversubscribed
Hotel Reefcomber PLC announced a Rights Issue backed by warrants
exercisable in 2011, 2012 and 2015.
The Issue and the mode in which it was offered to shareholders, have
been viewed by industry analysts as a strong indication of the strategic
intent of the Company.
The Issue was oversubscribed with shareholders subscribing for an
additional 7.9 million shares, an oversubscription of 6 times for
The Rights Issue complements the aggressive expansion plans for Hotel
Reefcomber PLC and follows on the heels of the Company’s strategic
purchase of a seven-acre property with a picturesque, almost one
kilometre of beach in the tourism hub of Waskaduwa, Kalutara North.
The Company intends to commence the construction of a four star, 150
roomed resort in early 2011, whilst plans are also underway to undertake
a complete renovation of its existing property in Hikkaduwa.
In the medium term the Company will follow a strategy of expansion
with focus on acquisition of property along the beautiful coastline of
Sri Lanka, thereby enhancing its resort portfolio.