The Softlogic Group, which recently acquired more than 90% in Asian Alliance Insurance Company (AAIC), will only retain about 70% in the firm in the medium term, informed sources say.
Softlogic bought Asia Capital PLC's 73% in AAIC last month and triggered the mandatory code which requires them to offer to buy the balance shareholders out at the highest traded price prior to the (mandatory code) trigger. The Richard Peiris Group (RPG) with 25% accepted this offer made by Softlogic to acquire the ordinary voting shares held by subsidiaries, Richard Pieris and Company PLC and Richard Pieris Distributors in AAIC at Rs.120 per share.
“Immediately after the mandatory offer was accepted by RPG, Softlogic sold less than 2%,” a source close to the company told the Business Times. The buyer was believed to be advertising personality and now major stock market investor Dilith Jayaweera. The source added that Softlogic will sell some 30% over the next few months.
“But they will try not to sell large strategic stakes,” he added. Softlogic, according to officials is bullish on the financial services and is eyeing (to set up/ acquire) a stockbroking company as well.
A 10% price band has been imposed on AAIC with effect from September 21 to 27 (both days inclusive).