JKH invests Rs. 1 b to boost golf tourism biz

Monday, 14 September 2015 00:03 - - {{hitsCtrl.values.hits}}

John Keels Holdings Plc (JKH) will be investing Rs. 1 billion to boost its prospects in growing segment of golf tourism.

The company on Friday said JKH and subsidiaries have increased shareholding in Rajawella Holdings Ltd., from 16.9% to 51%.

Rajawella Holdings (RHL) operates an 18-hole, Donald Steel designed golf course in Digana. JKH said this coupled together with the overall development potential of the land bank, complements the group’s leisure and property portfolio.

The total investment of Rs. 1.04 billion comprises a partial buyouts from existing shareholders (Rs. 462 million within three years), an infusion into RHL (Rs. 421 million in total within three years), and a release of an existing sublease of land held by the JKH Group and valued at Rs. 161 million in exchange for shares.