Eden Hotel Lanka PLC (COSE:EDEN.N0000) offered to acquire remaining 43.41% stake in Serendib Hotels PLC (COSE:SHOT.N0000) for approximately LKR 470 million on December 18, 2020. Under the terms of the transaction, Eden Hotel Lanka PLC offered to acquire 32.78 million ordinary shares at LKR 14.20 per share. Eden Hotel Lanka PLC intends to continue operations of Serendib Hotels PLC as a going concern. Eden Hotel Lanka PLC does not intend to implement any major changes to the business of Serendib Hotels PLC. Eden Hotel Lanka PLC does not intend terminating the services of any employees of Serendib Hotels PLC.
The transaction is subject to unconditional acceptance by shareholders of Eden Hotel Lanka PLC, where Eden Hotel Lanka PLC must accept and pay for all shares tendered at the offer price, while the shareholders of Serendib Hotels lose their right to withdraw the shares. Eden Hotel Lanka PLC having acquired Shares carrying more than 50% of the voting rights, Eden Hotel Lanka PLC declares that this Offer is unconditional as to acceptances at the very outset. As reported on January 15, 2021, the offer was declared unconditional. The transaction was approved by Securities and Exchange Commission of Sri Lanka and Colombo Stock Exchange. The offer period will start from January 8, 2021 to will close on January 29, 2021. As on January 29, 2021, the offer period is extended and the new closing date of the Offer will be seven days from the date of dispatch of the Independent Advisor's Report and the Directors views, comments and advice to the shareholders by the Offeree. Shashikala de Mel of P.W. Corporate Secretarial (Pvt) Ltd. acted as a manager and registrar to Serendib Hotels.
Eden Hotel Lanka PLC (COSE:EDEN.N0000) completed the acquisition of additional 0.24% stake in Serendib Hotels PLC (COSE:SHOT.N0000) for approximately LKR 2.6 million on February 10, 2021. Accordingly, subsequent to mandatory offer, Eden Hotel Lanka PLC holds 42.92 million shares accounting for 56.835%.