Harshini Perera
Raigam Wayamba Saltern (Ltd), a fully owned subsidiary of the Kingdom of Raigam will be going for Initial Public Offering (IPO) by the first quarter of this year. It is after Colombo Stock Exchange (CSE) approval expected in the following weeks, Wayamba Saltern Chairman/CEO Dr. Ravi Liyanage said in Palavi, Puttalam recently.
The IPO expects to generate Rs 200 million and sell a share at a Rs 2.50 worth Rs 800 million. It is expected to strengthen the local industry of salt while producing hygienically packed salt made to international standards.
The Wayamba Saltern has been a marshy land in the past but it was developed to a productive saltern within a span of four years.
“It is the first refinery plant and produces 50 percent of the table salt market,” he said.
“Our turnover for 2008/09 was Rs 382 million and the profit was Rs 172 million compared with the turnover of Rs 157 million and profit of Rs 12 million the previous year,” he said.
Wayamba Raigam Saltern in Puttalam produces table salt for the Sri Lankan market which was once imported from India.
“The salt industry is an industry which can be easily expanded as there is enough natural resources such as sunlight and lagoon water. Therefore, the salt industry became popular and we have been able to specialize with iodized table salt a few of years ago,” he said.
Wayamba Saltern with more than 300 acres, is the largest and the productive among salterns in Sri Lanka. It has the capacity to produce 60,000 kgs of table salt per a day.
There are around 200 workers in the factory and could take a daily harvest of 1500 metric tons a day.
“Many improvements in the company have been arranged. New machinery worth Rs 50 million was invested on the saltern.
A new technology called pure vaccum dried technology will be introduced to manufacture pure salt that can be used for the manufacturing industry in Sri Lanka such as biscuits and other products which at present are imported from other countries,” he said.
Crystal salt has been popular in Sri Lanka and has a good potential market. Thus, we expect to establish a plant in Trincomalee adding to the saltern bases in Puttlam and Hambantota.
It is expected to set two new salterns in Puttalam and one in Wanathavilluwa and one in Hambantota.
“These salterns stretch upto 110 acres, 350 acres and 210 acres respectively. The expansion will take place with the IPO and the management expects to create a second generation of management after the IPO,” Raigam Joint Managing Director Ganaka Amarasinghe said.
source - www.dailynews.lk
1 comment:
There are many Private placements these days.............
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