Prime Lands Residencies debuts initial public offering

Prime Lands Residencies Limited, the condominium property arm of Prime Group, recently debuted its initial public offering (IPO) proposition. 

The company has extended an invitation to subscribe for 100 million ordinary shares, at an issue price of Rs.10.40 per share, which is payable in full on application. 

The company has also facilitated an option to subscribe for a further 87,500,000 shares, in the event of an oversubscription of the initial issue. The opening date is currently set for May 11 and interested parties are encouraged to forward their applications prior to this.

Through this IPO, Prime Lands Residencies Limited seeks to allow the public to have a 10 to 20 percent stake in the company and raise Rs.1.95 billion in funds.

Over 40 apartment projects have been initiated by the company so far in Colombo, other main cities and suburbs. Out of which, 35 projects have been fully completed and handed over to residents. Apart from this, five more projects are in the pipeline to be launched in 2021.  

For the financial year 2020, the company recorded an after-tax profit of Rs.138 million, on a revenue of Rs.5.7 billion. The post-tax profit is forecasted to increase to Rs.975 million this year, with a projected revenue of Rs.7.9 billion.