Vallibel One exits apparel biz with Rs. 138 m capital gain
Wednesday, 13 August 2014 00:03
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Business leader Dhammika Perera’s Vallibel One Plc has exited from the apparel business with a capital gain of Rs. 138 million.
The company said it divested the total shareholding in Orit Apparels Lanka Ltd., amounting to a 50% stake. The shares were divested at Rs. 40.27 or $ 0.3098 per share. The price is equal to Orit’s net asset per share. The sale had realised a net capital gain of Rs. 138 million.
The buyer was Orit Chairman Channa Palansuriya who held the balance 50%.
The premier denim specialist manufacturer in Sri Lanka, Orit Apparels, produces over 8.5 million pieces annually, exporting to some of the most prestigious brands around the world. Orit is one of the three key product development centers for Levi’s.
Eight plants manned by a team of over 6,000 produce specialised apparel for Levi’s USA, Levi’s Europe, Gloria Vanderbilt, Kohls, Sears, Macy’s, Next, Ralph Lauren, Jessica Simpson, Kenneth Cole, Bon Ton and Rachel Roy.
Orit Apparels in FY14 posted a turnover of Rs. 9.78 billion whilst it suffered a loss of Rs. 134 million.
Vallibel One in FY14 posted an after tax profit of Rs. 3.06 billion, down by 1.2% over the previous year. Net profit attributable to equity holders was Rs. 1.57 billion, down by 27% from FY13. Group turnover grew by 46% to Rs. 48.33 billion.
Vallibel One holds 64.3% of LB Finance Plc, 51% in Royal Ceramics Plc., 15% in Sampath Bank Plc., 20% in Waskaduwa Beach Resorts Plc, 62% in Delmege Ltd., and 100% in Greener Water Ltd.
