FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com


Join the forum, it's quick and easy

FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com
FINANCIAL CHRONICLE™
Would you like to react to this message? Create an account in a few clicks or log in to continue.
FINANCIAL CHRONICLE™

Encyclopedia of Latest news, reviews, discussions and analysis of stock market and investment opportunities in Sri Lanka

Click Link to get instant AI answers to all business queries.
Click Link to find latest Economic Outlook of Sri Lanka
Click Link to view latest Research and Analysis of the key Sectors and Industries of Sri Lanka
Worried about Paying Taxes? Click Link to find answers to all your Tax related matters
Do you have a legal issues? Find instant answers to all Sri Lanka Legal queries. Click Link
Latest images

Latest topics

» Bank run leading the way in 2024
by bkasun Today at 3:21 pm

» ACCESS ENGINEERING PLC (AEL) Will pass IPO Price of Rs 25 ?????
by blindhog Thu Apr 11, 2024 10:44 am

» ASPI: Undoing GR/Covid19!
by DeepFreakingValue Thu Apr 11, 2024 10:25 am

» Learn CSE Rules and Regulations with the help of AI Assistant
by ChatGPT Tue Apr 09, 2024 7:47 am

» Top AI tools in Sri Lanka
by ChatGPT Tue Apr 09, 2024 7:21 am

» HDFC- Best ever profit reported in 2023
by ApolloCSE Mon Apr 08, 2024 12:43 pm

» WAPO 200% UP
by LAMDA Sun Apr 07, 2024 10:41 pm

» KEGALLE PLANTATIONS PLC (KGAL.N0000)
by DeepFreakingValue Fri Apr 05, 2024 2:04 pm

» ARPICO INSURANCE PLC - Reports LKR 625mn loss for the FY2023
by DeepFreakingValue Fri Apr 05, 2024 12:58 pm

» EXTERMINATORS PLC (EXT.N0000)
by ErangaDS Fri Apr 05, 2024 10:59 am

» ALLIANCE FINANCE COMPANY PLC (ALLI.N0000)
by SL-INVESTOR Fri Apr 05, 2024 8:29 am

» PEOPLE'S INSURANCE PLC (PINS.N0000)
by Anushka Perz Thu Apr 04, 2024 9:50 pm

» PINS (People's Insurance) will be another UAL
by sakuni Thu Apr 04, 2024 8:22 pm

» A New Record Price for One Tonne of Cocoa on the International Market
by ResearchMan Thu Apr 04, 2024 2:03 pm

» Access Engineering awarded two more contract packages at Colombo Port
by samansilva Thu Apr 04, 2024 12:05 pm

» Asha Securities and Asia Securities Target AEL (Access Enginnering PLC )
by rukshan1234 Thu Apr 04, 2024 11:53 am

» FMCG Sector LMF, MEL and DIST
by buwr Thu Apr 04, 2024 9:35 am

» CEYLON GUARDIAN INVESTMENT TRUST PLC (GUAR)
by soileconomy Thu Apr 04, 2024 3:00 am

» RWSL - WATCH
by sureshot Wed Apr 03, 2024 8:39 am

» LANKA CREDIT AND BUSINESS FINANCE PLC (LCBF.N0000)
by SL-INVESTOR Tue Apr 02, 2024 9:14 am

» Cargills Bank PLC: Financial Status and Future Outlook
by God Father Mon Apr 01, 2024 12:48 pm

» EX-PACK CORRUGATED CARTONS PLC (PACK.N0000)
by C.THARANGA Sun Mar 31, 2024 11:19 pm

» Positive on Healthcare and Pharma Stocks
by nilantha suranga Sun Mar 31, 2024 9:25 pm

» LankaTAX: Sri Lanka's First-ever AI powered Assistant for Tax Evaluation and Compliance
by ChatGPT Sun Mar 31, 2024 7:41 pm

» LankaLAW; Sri Lanka's First-ever AI powered Assistant for Legal Research and Advise
by ChatGPT Sun Mar 31, 2024 7:34 pm

LISTED COMPANIES

Submit Post
ශ්‍රී ලංකා මූල්‍ය වංශකථාව - සිංහල
Submit Post


CONATCT US


Send your suggestions and comments

* - required fields

Read FINANCIAL CHRONICLE™ Disclaimer



EXPERT CHRONICLE™

ECONOMIC CHRONICLE

GROSS DOMESTIC PRODUCT (GDP)



CHRONICLE™ YouTube

Disclaimer
FINANCIAL CHRONICLE™ Disclaimer

The information contained in this FINANCIAL CHRONICLE™ have been submitted by third parties directly without any verification by us. The information available in this forum is not researched or purported to be complete description of the subject matter referred to herein. We do not under any circumstances whatsoever guarantee the accuracy and completeness information contained herein. FINANCIAL CHRONICLE™ its blogs, forums, domains, subdomains and/or its affiliates and/or its web masters, administrators or moderators shall not in any way be responsible or liable for loss or damage which any person or party may sustain or incur by relying on the contents of this report and acting directly or indirectly in any manner whatsoever. Trading or investing in stocks & commodities is a high risk activity. Any action you choose to take in the markets is totally your own responsibility, FINANCIAL CHRONICLE™ blogs, forums, domains, subdomains and/or its affiliates and/or its web masters, administrators or moderators shall not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information. The information on this website is neither an offer to sell nor solicitation to buy any of the securities mentioned herein. The writers may or may not be trading in the securities mentioned.

Further the writers and users shall not induce or attempt to induce another person to trade in securities using this platform (a) by making or publishing any statement or by making any forecast that he knows to be misleading, false or deceptive; (b) by any dishonest concealment of material facts; (c) by the reckless making or publishing, dishonestly or otherwise of any statement or forecast that is misleading, false or deceptive; or (d) by recording or storing in, or by means of, any mechanical, electronic or other device, information that he knows to be false or misleading in a material particular. Any action writers and users take in respect of (a),(b),(c) and (d) above shall be their own responsibility, FINANCIAL CHRONICLE™ its blogs, forums, domains, subdomains and/or its affiliates and/or its web masters, administrators or moderators shall not be liable for any, direct or indirect, consequential or incidental violation of securities laws of any country, damages or loss arising out of the use of this information.


AI Live Chat

You are not connected. Please login or register

ASIA CAPITAL PLC: Serious Loss of Capital & Confidence

4 posters

Go down  Message [Page 1 of 1]

DeepFreakingValue

DeepFreakingValue
Manager - Equity Analytics
Manager - Equity Analytics

ASIA CAPITAL PLC: Serious Loss of Capital & Confidence

- Staggering Corporate Losses: Accumulated carried forward losses exceeds LKR 3.6bn
- Serious Loss of Capital: Losses more than 2 times of the Issued capital of LKR 1.48bn
- Negative Net Asset Value: Net Asset Value per share (NAVPS): Negative (LKR -6.5)
- Trading in Bankruptcy: ACAP is unable to satisfy the solvency test as per statutory requirements of the Companies Act.
- Hotel Assets under Legal Dispute: Hotels owned by ACAP valued approximately US$7.2 mn to be transferred to Japanese investors as settlement to avoid litigation.
- Lenders and Creditors to take Legal Action: Seylan Bank and other lenders to force sale assets of ACAP to recover US$ 3mn owing to banks.
- Severe Liquidity Crisis: ACAP facing severe liquidity crisis as the shareholders funds have fallen below the statutory level required to pass the solvency test.

Latest Corporate Results of Asia Capital PLC (ACAP.N0000): As at 30 September 2022
https://cdn.cse.lk/cmt/announcement_portal_prod/Public%20Float%20as%20at%2030.04.2020_3075447041918234.pdf

The Company’s net assets stand at LKR (341,329,000) which is below the 50% of its stated capital. This situation has triggered a serious loss of capital as at 30th September 2022 in terms of section 220 Of the Companies Act No 07 of 2007. The Board of Directors has paid much attention to this matter subsequent to the balance sheet date and subsequent to a preliminary discussion with the auditor and the Indipendent consultants of the Company have identified assets wherein the company holds a minority stake that could be liquidated in order to restructure the balance sheet. Consequently the Directors have had discussion with owners of the majority stake of the identified assets who in principle are willing to exercise their first right of refusal subject to an independent valuation and board approvals. Information gathering to facilitate the independent valuation is in progress. The Board expects, once substantial information is available, to provide a plan in terms of section 220 Of the Companies Act No 07 of 2007 to the shareholders of the Company.

ASIA CAPITAL PLC: Serious Loss of Capital & Confidence Screen65
ASIA CAPITAL PLC: Serious Loss of Capital & Confidence Screen66
ASIA CAPITAL PLC: Serious Loss of Capital & Confidence Screen67

The listed investment bank Asia Capital PLC (ACAP) is in facing financial crisis as it is expected handover the ownership of all major hotels to Japanese investors as a part of the ongoing settlement. As per this settlement Asia Capital will handover Habitat Kosgoda, Taprobana Wadduwa and River House Hotel to Japanese investors. According to sources these hotels are valued approximately $7.2 mn. Further in 2021 Asia Capital transferred the full ownership Shinagawa Hotel and 5 acre land in Kosgoda to another consortium of Japanese investors as a settlement. Above settlement has resulted in company losing the ownership of all operational hotels owned previously except 12 room Tamarind Hill hotel in Galle which is under a lease. In additional to above settlement, further US$ 5mn remain unsettled with the Japanese investor Tamao Watanabe.These settlement have come as a result of Japanese investors threatening to take legal action recover their investment alleging fraud and mismanagement by the key executives of the company.

Meanwhile the Seylan Bank PLC the largest lender and bankers to Asia Capital have notified its intention to initiate parate action and to force sale the assets to recover loans which has been outstanding and in non performing category for considerable period of time. As per the latest financial statement release by the Asia Capital, the total interest bearing loans amounts to LKR 1.4 billion of which approximately LKR 1 billion due to the Seylan Bank. Directors of the company have been reported to the CRIB.

Further according to the latest financial statement released by Asia Capital to the CSE the company is facing severe liquidity crisis as the shareholders funds have depleted to a level below the statutory level required to pass the solvency test as per the companies act of Sri Lanka. According to sources Asia Capital is seeking loans from its major shareholders to remain liquid and to meet its day to day operational expenses.

ASIA CAPITAL PLC: Serious Loss of Capital & Confidence Scree155

The new Companies Act No. 7 of 2007 brought into existence the solvency test into the legal framework of Sri Lanka. This is to be met in a variety of corporate procedures and requires companies to satisfy two tests to be classed as being solvent; the first is the “cash flow” test or trading solvency. The second test is  ̳assets test‘ or balance sheet solvency, namely that the assets of a company must be greater than its liabilities.

Asia Capital PLC share is currently trading around LKR 4/= where as the Net Asset Value (NAV) of the group as at 30th September 2022 is stated at negative LKR 6.50 per share. Proposed settlement with Japanese by transfer of assets amounting to US$ 7.2mn is likely to result in negative asset value and possible bankruptcy unless company take immediate action to infuse further equity.

Non compliance with minimum public float requirement
ASIA CAPITAL PLC: Serious Loss of Capital & Confidence Screen68

ASIA CAPITAL PLC: Serious Loss of Capital & Confidence Scree154

https://cdn.cse.lk/cmt/announcement_portal_prod/Public%20Float%20as%20at%2030.04.2020_3075447041918234.pdf

God Father


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

ASIA CAPITAL IN CRISIS - REGULATORS ACTION AWAITED!

Asia Capital PLC makes a staggering loss of LKR 812mn (Negative EPS of 5.90) for 9 months ended 31st Dec 2022 with a recurrent loss of LKR 0.73 per share for 3Q2022/23. Net Asset Value (NAV) of group is now negative LKR (7.30) per share is alarmingly lower than current market price of LKR 3.90. Its Time to halt trading of this counter to safeguard the innocent investors.

- Misappropriation of Funds by Directors/Staff
- Lack of Corporate Governance
- Imminent Danger of Bankruptcy
- Mass Exodus of Professional Staff


ASIA CAPITAL PLC: Serious Loss of Capital & Confidence Scree287
ASIA CAPITAL PLC: Serious Loss of Capital & Confidence Scree288


https://cdn.cse.lk/cmt/upload_report_file/363_1675938835485.12.2022.pdf

Quibit


Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics

Investors are confused why SEC silent. SEC should file action against these Culprit's of Asia Capital and Quest International headed by Vijaya Eshwaran for defrauding creditors.

ALL CURRENT DIRECTORS SHOULD BE JAILED FOR MISMANAGEMENT!

ChooBoy


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

God Father wrote:ASIA CAPITAL IN CRISIS - REGULATORS ACTION AWAITED!

Asia Capital PLC makes a staggering loss of LKR 812mn (Negative EPS of 5.90) for 9 months ended 31st Dec 2022 with a recurrent loss of LKR 0.73 per share for 3Q2022/23. Net Asset Value (NAV) of group is now negative LKR (7.30) per share is alarmingly lower than current market price of LKR 3.90. Its Time to halt trading of this counter to safeguard the innocent investors.

- Misappropriation of Funds by Directors/Staff
- Lack of Corporate Governance
- Imminent Danger of Bankruptcy
- Mass Exodus of Professional Staff


ASIA CAPITAL PLC: Serious Loss of Capital & Confidence Scree287
ASIA CAPITAL PLC: Serious Loss of Capital & Confidence Scree288


https://cdn.cse.lk/cmt/upload_report_file/363_1675938835485.12.2022.pdf

මුන් තමා ඩයස්පෝරාවේ හොරු

God Father


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

Directors are abandoning the sinking ship Asia Capital PLC.

ASIA CAPITAL PLC: Serious Loss of Capital & Confidence Scree295

https://cdn.cse.lk/cmt/announcement_portal_prod/CSE_Disclosure_Resgination%20of%20Mr.%20Kapila%20Sri%20Chandrasekara_7802620813114.pdf

DeepFreakingValue

DeepFreakingValue
Manager - Equity Analytics
Manager - Equity Analytics

Asia Securities enjoins Asia Capital Stockbrokers from trading, using the word ‘Asia’

The Commercial High Court granted two Enjoining Orders on 10 May upon an Application made by Asia Securities, preventing Asia Capital Stockbrokers, and Asia Capital PLC from using the word ‘Asia’ or any derivation of it, in any venture in the stockbroking business as a trademark or tradename and further enjoining Asia Capital Stockbrokers from trading on the Colombo Stock Exchange as a stockbroker using in its name the words ‘Asia’.

The Plaintiff, Asia Securities, submitted that their intellectual property rights were infringed by the Defendants, Asia Capital Stockbrokers, and Asia Capital PLC by using the word ‘Asia’ in their corporate names in the stockbroker business.

Asia Capital, being a former shareholder of the Plaintiff Company, undertook not to utilise the Trademarks of the Plaintiff or any derivations of it or the words “Asia Securities” or “Asia” in any business venture carried out by them or their Affiliates, when selling their shares in the Plaintiff Company.

Since the sale, the Plaintiff has become a leading stockbroker in Sri Lanka, being ranked as the No. 1 stockbroker in Sri Lanka this year by the CSE in terms of exchange trading turnover and has won many accolades and awards, resulting in its name being associated with goodwill and reputation.

The Plaintiff stated that several years after the sale, Asia Capital acquired another stockbroking firm by the name of ‘Nawara Securities’ and changed its name to Asia Capital Stockbrokers, acting in contravention of these contractual obligations. As a result, Asia Capital Stockbrokers, issued an Undertaking that it would change its name and until such time will not carry on any business in direct conflict with the Plaintiff.

However, contrary to its undertaking and several assurances given since then, the Plaintiff alleges that Asia Capital Stockbrokers, continued to trade on the CSE and carry out business activities without changing its name as promised, constituting an act of unfair competition infringing their intellectual property rights.

Having heard the submissions made by counsel appearing for the Plaintiff, Avindra Rodrigo P.C. with Christina Hettiarachchi instructed by FJ&G de Sarams, the Judge of the Commercial High Court Pradeep Hettiarachchi granted the enjoining orders sought by the Plaintiff, restraining Asia Capital PLC and Asia Capital Stockbrokers, from using the word ‘Asia’ in any venture in the stockbroking business and further restraining Asia Capital Stockbrokers, from trading in the CSE as a stockbroker using the word ‘Asia’ in the name.

https://www.ft.lk/front-page/Asia-Securities-enjoins-Asia-Capital-Stockbrokers-from-trading-using-the-word-Asia/44-748271

Sponsored content



Back to top  Message [Page 1 of 1]

Permissions in this forum:
You cannot reply to topics in this forum