Group suffers Rs.225.3m loss in FY 2013
Chairman of Environmental Resources Investment Plc (GREG) Lalith Heengama has recently said that a blue print for the construction of 32-storey complex at Colombo City Holdings Plc (formerly known as Colombo Pharmacy Company Plc), remains under consideration with analysis continuing on the best uses for the Bambalapitiya IC Drugs premises.
Addressing shareholders at the release of the GREG Annual Report 2012/13, Heengama noted that Colombo Pharmacy Company had underwent an extensive refurbishment program and was able to achieve its objective of obtaining a higher total income from the renting of space at the Union Place.
“It was observed that the Company continued to incur losses from its main pharmaceutical business. The Board decided to discontinue the pharmacy with the approval of the shareholders and to concentrate on property development,” Heengama said.
Meanwhile, the Chairman announced that the balance due on the sale of ERI Shares to Photon Global Ltd. in BVI was received in the early part of the fourth quarter with the proceeds from this collection deployed into a significant investment in Browns Investments PLC.
“A series of market transactions resulted in Lionhart Investments becoming a minor shareholder and Taprobane Holdings (28.91%) and Caledonian Securities (27.72%) becoming major shareholders,” he said. Heengama also added that Ceylon Leather Products Plc (CLPL), which was the first ERI acquisition of distressed companies continued to progress during the year whilst South Asia Textiles, whose major shareholder is CLPL, has been able to record a profit for the first time after several years.
“Dankotuwa Porcelain PLC., which was facing a threat of liquidation prior to the acquisition by ERI, has been able to turnaround within three years. After several years, Dankotuwa Porcelain PLC declared a dividend this year. This was possible as a result of higher margins and profits gained from finding new markets for Dankotuwa products,” the Chairman further noted.
GREG has, however, suffered a loss of Rs.225.3 million for the year ended March 31, 2013 compared to a profit of Rs.75.9 million witnessed in the same period of the previous year.