LTL Holdings IPO remains on hold

LTL Holdings’ initial public offering (IPO) remains on hold until the Supreme Court issues a decision, according to a disclosure made to the Colombo Stock Exchange (CSE).

The case, which will be heard for support on October 11, 2024, is tied to an ongoing legal challenge. On October 01, the Securities and Exchange Commission of Sri Lanka instructed the CSE to maintain the current status quo, preventing the IPO from proceeding, until the court rules on the interim relief sought by the petitioners in the case.

The company will announce a new IPO opening date, once the legal situation is resolved in coordination with the CSE. Until then, LTL Holdings will not accept applications through any channels, including physical submission, the CSE mobile app or CDS web portal.

Applicants who have already submitted their IPO applications are being asked to notify the issue’s registrar, S S P Corporate Services (Private) Limited, of their next steps. They can either choose to have their applications retained until the IPO resumes or request a withdrawal. Instructions on how to proceed will be sent to the applicants via post or email, with responses due by October 15, 2024.
The company will also pay interest at a rate of 10.49 percent p.a. (which is the 91-days Treasury Bill rate published by the Central Bank of Sri Lanka on 19th September 2024) from 10th September 2024 or the date of transfer of application monies, whichever is latest, until the opening of the subscription list. LTL Holdings’ IPO was initially set to open on September 13 but was halted shortly before its launch, due to the undisclosed information in the company’s prospectus.