Sunday Nov 24, 2024
Sunday Nov 24, 2024
Friday, 29 December 2017 00:00 - - {{hitsCtrl.values.hits}}
Home-grown diversified conglomerate Sunshine Holdings PLC yesterday announced that it would be further consolidating its stake in Estate Management Services Ltd. (EMS), the holding company for Watawala Plantations PLC, Hatton Plantations PLC and Watawala Tea Ceylon Ltd. (WTCL) – two of Sri Lanka’s most profitable plantations and leading tea brands.
Previously managed under tripartite ownership between Sunshine Holdings PLC, Pyramid Wilmar, and Tata Global Beverages, with each party holding an equal share in EMS, Sunshine’s stake in EMS will increase up to 60% of its issued share capital, while Pyramid Wilmar will hold the remaining 40%.
Sunshine Holdings paid Rs. 1.6 billion for the additional stake of 6.769 million shares.
Despite the exit, Tata Global Beverages will continue its collaborative partnership with Sunshine Holdings, but with a revised strategy that places greater emphasis on international branding and marketing of TATA Tea which will continue to be sourced from Watawala Plantations.
“Our close partnership with Tata Global Beverages has resulted in numerous achievements, milestones and accolades for Watawala Plantations and WTCL over the past two decades. This long and fruitful relationship with Tata Global Beverages is underpinned by an unblemished legacy of trust, excellence, and innovation and moving forward, we will continue to draw on these strengths as we continue to adapt and grow,” Sunshine Holdings Group Managing DirectorVishGovindasamy said.
“We also see this moment as an opportunity to take more direct action aimed at reforming and rejuvenating less profitable sectors of our tea business while emulating and enhancing the examples, practices and techniques utilised in our best performing tea estates. In this regard, we look forward to exploring new opportunities for partnerships and synergies between Sunshine and Tata Global Beverages,” added Govindasamy.
Notably, Sunshine Holdings has an investment in Tata Communications Lanka Ltd., of which Govindasamy is the Chairman, who expressed that Sunshine would continue to seek out synergistic branding and marketing opportunities, particularly with regard to international markets, leveraging on the immense resources and global reach of Tata Global Beverages.
Sunshine Holdings PLC is a diversified conglomerate with interests in healthcare, plantations, FMCG, packaging and renewable energy. The Group with revenue exceeding $120 million is listed on the Colombo Stock Exchange.
Beginning with the healthcare business in 1967, the Group has built strong businesses over the last five decades, including partnering with the Tata Group in 1992 to form a joint venture in Plantations. Group companies include Sunshine Healthcare Lanka, Watawala Plantations PLC, Hatton Plantations PLC, Watawala Tea Ceylon Ltd. (WTCL) and Sunshine Energy.
