Dr. Arosha Fernando to acquire MTD Walkers

In a disclosure to the Colombo Stock Exchange (CSE), the Board of MTD Walkers PLC has informed that leading business magnate and renowned scholar Dr. Arosha Fernando has signed the Share Sale & Purchase Agreement (SSPA) to acquire 90% of the shareholding of the company from MTD Capital BHD of Malaysia.

The proposed acquisition is under Arosha’s investment arm, Lakma Holdings Ltd., and is subject to legal due diligence by Nithya Partners, which is the leading law firm in Sri Lanka for corporate acquisitions and mergers and a financial due diligence by Price Waterhouse Coopers (PWC), a multinational firm with its headquarters in London, UK.

In May Fernando was appointed to the Board of MTD Walkers PLC as its Group Director by MTD Capital BHD of Malaysia, and in a three-month period he has moved himself to acquire the entire group of MTD Walkers PLC which currently has 26 subsidiary companies. This includes Walkers Shipyard, Northern Power Plant, Fort Heritage Hotel, Walkers Properties, CML Construction, etc.

Fernando is expected to assume duties as the Chairman and Group MD/CEO of MTD Walkers PLC soon after the completion of the due diligence and planned acquisition.

Maduka Jayawardhana of Corporate Advisory and Capital Markets Division at Merchant Bank of Sri Lanka (MBSL) initiated and coordinated the said acquisition on behalf of MBSL.

In a strategic partnership with its UK-based investment firm, Lakma Holdings is currently in discussions to acquire another major construction company, an automobile manufacturing firm, a telecommunications service provider, a five-star city hotel and a resort hotel.

“Lakma Holdings aims to become a leading conglomerate in Sri Lanka time to come,” Dr. Fernando said, explaining his future investment plans. “We are intending to settle all the debtors in stages and restructure the Walkers Group of Companies soon after the acquisition,” he added.