Mackwoods Energy promises substantial value addition to shareholders

Mackwoods Energy Ltd said yesterday it will provide substantial value addition for its shareholders as it can leverage on the strength of the Mackwoods Group of Companies, the second oldest mercantile group in Sri Lanka, with over 170 years of experience in sustainable business models in diverse business sectors.

It said building upon the solid foundation of its parent company; Mackwoods Energy has grown to be a trusted provider of a wide range of energy solutions catering to the diverse energy needs of the key sectors of the national economy. Today the Group provides employment to over 8000 employees and has a land base of 27000 acres, empowering Sri Lanka through its core business areas of Power and Energy, Agri Business, Plantations, Healthcare, Industry, Information Technology, Leisure, Infrastructure Development  ,Real Estate and Financial Services, engaging in import and export trading, manufacturing and as a service provider.

Recognising the power and energy sector as an essential driver of socio-economic development of the country and a critical sector globally, Mackwoods Energy has strategically focused on harnessing available sources of energy, particularly renewable energy, to supplement its existing operations in the thermal energy sector. This will contribute to meeting the fast growing energy needs of the country in the post conflict era of infrastructure development, in an environmentally sound manner.

The opportunity to invest in a Mackwoods Group Company, which has a proven track record of sustainability, reliability and trust over 170 years, created great interest and enthusiasm among retail and institutional investors,  as well as foreign investors, resulting in the offer being oversubscribed on the first day of its opening.

Following the oversubscription of its Rs. 350 million IPO, Mackwoods Energy Ltd., this week announced the basis of allotment.

With a view to maximise investor participation, all the retail investors and the investors who applied upto 3,571,400 shares (approx Rs. 50 million) under the non-retail investor category were allotted 100% of the shares applied for, according to the basis of allotment. Investors who applied for more than 3,571,400 shares were allotted a minimum of 3,571,400 shares plus 24.67% of the shares applied for over and above 3,571,400 shares.

Based on the Stock Exchange filing, 512 investors have applied for 28,476,100 shares at the IPO and 446 investors under the retail category were allotted 794,800 shares while the balance 24,205,200 shares were allotted to the investors who had applied under the non-retail investor category.

The shares of the company will be listed on the Colombo Bourse towards the end of April 2012. The company raised Rs 350 million through the issue of 25 million ordinary voting shares to the public at Rs. 14 each, amounting to a 25% stake of the company, post IPO.