Panasian Power acquires 90% shares of Padiyapellella Hydro-power
The Board of Directors of Panasian Power Plc has approved the
acquisition of 90% of shares of Padiyapellella Hydropower (Pvt) Ltd for
Rs. 910 million. The purchase price was based on the valuation of the
company by NDB Investment Bank Ltd.
The Power Project by Padiyapellella Hydro-power (Pvt) Ltd is being
implemented in two phases with phase 1 consisting of a 3.6 MW Power
Plant which is expected to be commissioned in August/September 2012. The
company has already obtained the necessary licenses to construct and
commission an additional 3 MW Power Plant in phase 2.
In keeping with the investment strategy spelt out during its IPO in
January 2011, with this acquisition Panasian Power Plc will be operating
a total of 8 MW of power by August/September 2012.
The company is currently negotiating with the relevant authorities
for the expansion of the Rathganga Power Plant from 2 MW to 3 MW.
With the above mentioned acquisition, the capacity expansion of the
present plant at Rathganga, and the completion of phase 2 at Padeyapella,
Panasian Power PLC is expected to increase its capacity to 12 MW of
power in 2013 and is well on its way to achieving its aim of a total
power generating capacity of 15 MW within the next few years.
While investing in its expansion programme, Panasian Power Plc has
also decided to share part of its profits by offering an interim
dividend of 15 cents per share to its share holders for the years
2011/2012.
The company is currently negotiating with the relevant authorities
for the expansion of the Rathganga Power Plant from 2 MW to 3 MW.
With the above mentioned acquisition, the capacity expansion of the
present plant at Rathganga, and the completion of phase 2 at Padeyapella,
Panasian Power PLC is expected to increase its capacity to 12 MW of
power in 2013 and is well on its way to achieving its aim of a total
power generating capacity of 15 MW within the next few years.
While investing in its expansion programme, Panasian Power Plc has
also decided to share part of its profits by offering an interim
dividend of 15 cents per share to its share holders for the years
2011/2012.
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