Friday, January 7, 2011

Panasian power surges ahead

Panasian Power Limited, which recently concluded its Rs 600 million IPO, has shown a marked increase in revenue and profit compared to last year, due to increased efficiency and an increased plant factor.

The revenue for the month of December 2010 from the Manelwala Plant reached Rs 20 m. and the consolidated revenue of the Group was Rs 34 m. The company recently initiated action to enhance the capacity of the its plant in Rathgama, Ratnapura. The capacity will be increased from 2MW to 3MW, and the plant is expected to be in operation by December 2011.

Panasian Power Limited Chairman Dr Prathap Ramanujam said, "The company will continue to increase its capacity with new acquisitions as part of its strategy to increase its capacity to 15MW of Mini Hydropower generation.

The company is also considering expanding investment into other sustainable renewable energy sources."

Trading for the shares is to begin on February seventh Dr Ramanujam said "There is a lot of momentum behind this initiative to catalyze the Minihydro industry in the country, and we are fully confident that the opening of trading will give more prominence to one of the core sectors of this nation."

He said that Panasian Power Limited has fully settled the purchase consideration of Rs 565,107,184 to Power Hub International Sdn.

Bhd. for the acquisition cost of Manelwala Hydropower Pvt. Ltd, through the IPO proceeds. With this settlement, the primary mortgage of project assets and shares of the Group to Sampath Bank PLC has been fully discharged.

Chairman Dr Ramanujam said that with this settlement, the Group has become debt free.

source - www.dailynews.lk

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