Launches IPO:

Softlogic invests in five star hotel

by Lalin FERNANDOPULLE

Softlogic Holdings will put up the next five-star hotel in Colombo with an investment of US$ 33 million to capitalise on the booming tourism market in the country, said Chairman/Managing Director Softlogic Holdings (Pvt) Ltd., Ashok Pathirage.

He said the hotel will be constructed on a 90-perch land owned by the company at Dharmapala Mawatha and added that the hotel will be managed by Movenpick.Pathirage was speaking at a ceremony on Wednesday to launch the IPO of the company. He said that the new hotel will comprise 224 rooms and that would be a major boost to the tourism industry which is on a solid growth trajectory.

“We hope to be a leading brand in the leisure sector of the country with unmatched quality service for high-end holiday makers. Movenpick will be the most preferred destination among city hotels”, Pathirage said.

Softlogic owns the Ceysands Hotel in Bentota which is an iconic location in the South for discerning travellers. Pathirage said the travel and leisure sector will gather momentum in the months to come with Softlogic Group partnering Movenpick, one of the leading hotel chains in the world.

Softlogic has also planned to increase the number of retail stores to around 250 by 2012 in a move to expand the company’s retail chain in the country.

Softlogic retail sector holds authorised distributorship for the world’s best brands in the country in the consumer electronics branded apparels and furniture sector.

The company’s consumer electronics brands include Panasonic, Samsung, Onida, Candy, Cornell and Ignis. Levi’s, Nike, Mango and Giordano are some of the leading brands in the apparel sector.

Pathirage said that they hope to make new investments on developing healthcare in the North. The company has invested Rs. 60 million on a laboratory in Jaffna.

Healthcare has been not only a business for the company but a service that we take great pride in. We hope to expand this sector and be the leading private sector healthcare service provider in the country.

Asiri Group of hospitals comprise Asiri Surgical, Asiri Hospitals Colombo and Matara and the new Central hospital.

“Softlogic Group is a diversified investor friendly conglomerate and therefore the IPO of Softlogic Holdings is an investment opportunity not to be missed”, Pathirage said.

Since its launch Softlogic has expanded into a number of sectors which include ICT, retail, healthcare, leisure, automobile and financial services.

With a workforce of over 5,000 employees the Group’s annual turnover exceeds Rs.16 billion.

The company plans to raise Rs.4.031 billion from the IPO with an issue of 139,000,000 priced at Rs.29 per share.The offer will open on June 9.

The Hayleys Group’s agriculture companies are credited with introducing the latest knowledge generated by international research and development in agriculture to Sri Lanka’s farming communities.

These companies also continue to provide comprehensive extension services at the grass roots level in all agricultural areas. The Group has invested substantially in bio technology for new generation of agriculture.

Hayleys Agriculture pioneered F1 Hybrid Flower Seed production, rainwater harvesting, value-added fruit and vegetable export, venturing directly into regional countries such as Bangladesh, among other firsts.

It is also the first agriculture company to venture strongly into the post-conflict Eastern and Northern Provinces with bold and impactful initiatives involving returnee farmers in partnership with government agencies and NGOs.

As the first agricultural company in Sri Lanka to venture into the use of Nanotechnology in agriculture (in collaboration with NANCO, the national Nanotechnology initiative) Hayleys Agriculture is responsible for an innovative product now at the commercial evaluation stage that has the potential to have a significant impact on the economy.

Hayleys Agriculture is also focussed on constantly introducing new products and services to build and enhance capacity in traditional agriculture.

These include mechanical devices such as combine harvesters, combine threshers and mechanical reapers that improve productivity even in the face of labour shortages.

The company is also heavily involved in new high-yielding plant varieties, seed paddy, early-generation seed potato and B-Onion seed among others to help in the country’s drive to improve agricultural productivity and enhance food production and farmer incomes.

Hayleys Agriculture’s involvement in every stage of the life cycle of agro produce from producing seeds to supporting the export of processed vegetable and fruit, gives the entity a unique profile in the agriculture sector, and enables it to add value at many points and in many aspects.

Its products range from crop protection products to high-end planting materials including vegetable seeds, seed paddy, seed potatoes, B-Onion and Maize seed, fertilizer, agri equipment including sprayers, two wheel and four wheel tractors, combine harvesters and combine threshers; micro irrigation systems and animal health products including antibiotics, biologicals, feed additives and veterinary pharmaceuticals.