Financial Times

Sampath says capital adequacy enough

Even if the proposed rights issue will not come through, Sampath Bank's capital adequacy ratio can be managed during the next few years, according to senior officials in the bank.

"Even if the proposed rights issue is not approved by the shareholders (at the Extra-ordinary General Meeting (EGM) to be held next Wednesday), the bank's capital adequacy ratio can be managed in the coming few years," Ranjith Samaranayake, Chief Financial Officer, Sampath Bank told media at the unveiling of its financials for the first nine months of 2008.

Harris Premaratne, Sampath's CEO Designate said that the share price was at Rs. 100 when the rights was decided a few months ago, but subsequently the financial crisis faced by many markets percolated to Sri Lanka which brought the Sampath shares along with other shares down. "So the shareholders need to decide at the EGM whether they will subscribe for the rights or not," he added.

He said that IFC wanted to subscribe for 15 % of the rights at Rs. 117 a share, which would have brought Rs. 2 billion to Sampath, but they deferred participation. "IFC wants to wait till there is a better economic outlook for them to subscribe to the rights." Sampath recorded a profit of Rs. 1 billion for the first nine months of the year amounting to a growth of Rs. 240.5 million or 31.3 percent over the Rs. 767.2 million posted during the same period in 2007. Last month the bank saw Arthur Senanayake, a founder director and Deputy Chairman taking over as Chairman on the retirement of Edgar Gunathunga.

Top to the page  |  E-mail  |  views[1]
Other Financial Times Articles
LMSL-land clearly belonged to SLPA
Sampath says capital adequacy enough
EU probe begins on Lanka’s GSP+
JKH share falls on rumours, foreign selling
Best times still ahead for investors in capital markets
Crude oil hits lowest in two years
Hard times for coir workers
Garment crisis, JKH on the hop
Revival: “We can do it”- Meegoda
Global crisis will take a minimum of 12 to 15 months to stabilise
PBJ affidavit to be accepted once all letters are filed-Court
Adverse comments against judiciary may be to stifle its independence
Cargills using Jayasuriya to woo public support for its products
Brandix takes Gold at National Cleaner Production Awards
Domestic workers in local households push for rights
Regional business leaders to meet at BPA AGM
Chairman and CEO must be two separate posts
Sri Lankan psychologists come together to form asssociation
Commercial Bank in world’s top 1000 banks
BOI promoting regional development
Sri Lanka takes historic step in evidence through video conferencing
Seylan Merchant Leasing’s deposit base tops Rs 1.5 billion
Lower consumption of lubricants-Chevron Lanka
Voice-based phone directory from Suntel
Colombo, Gampaha and Kalutara most competitive Sri Lankan cities
58% of low grown teas unsold at auctions this week
HSBC unveils world’s longest golf cart
Garment factory closures points to unviable industry-report
Arab airlines urged to focus on efficiency
Abdul Rahims – 136 years of trading
Dave Ulrich’s ‘Future Proof Your HR’ draws crowds to Water’s Edge
Sparks fly at SPAACS launch
Harry J-controlled parties restricted to 10% on ComBank voting
Veteran insurance consultant urges Code of Conduct for insurance
Onus on defendant to begin case under Debt Recovery laws
Renton to spearhead World Bank tourism project
Lankan banker wins ‘Woman of the Year in Finance’
Minimum wage for workers under consideration – outgoing EFC Chairman
Financial scandals : Who takes responsibility?
ADB, Sri Lanka agree on partnership strategy
JKH: Treatment of LMSL Land
Sri Lankan Actuaries form professional body
US$150 mln rescue package to tackle loss of GSP+ benefit
Interest rates to come down
Security experts stress importance of private security agencies


Reproduction of articles permitted when used without any alterations to contents and a link to the source page.
© Copyright 2008 | Wijeya Newspapers Ltd.Colombo. Sri Lanka. All Rights Reserved.| Site best viewed in IE ver 6.0 @ 1024 x 768 resolution