CAL advises Sunshine Holdings on Rs. 1.7 b acquisition of Daintee

Friday, 14 August 2020 00:00 - - {{hitsCtrl.values.hits}}

Racks up another successful transaction amongst family businesses

Consolidating its stance as a Sri Lankan family business expert, Capital Alliance Partners Ltd. (CAL) advised Sunshine Holdings PLC on the acquisition of Daintee Ltd. The transaction was structured by CAL to enable the Sunshine Group to expand its operations in the FMCG space with the use of Daintee’s well-established brands, thereby maximising the growth prospects of both entities. Functioning as the buy-side advisors to the Sunshine Group, CAL was entrusted the role of harnessing the value of the Daintee brand that has been created over the years and plugging it into the Sunshine Group such that they can expand their presence as a leading FMCG conglomerate in Sri Lanka.

Having negotiated through a number of prospective investors, CAL played an instrumental role in the implementation of the transaction by liaising with all related parties and engaging in negotiations with Daintee, on behalf of Sunshine, securing the most beneficial terms of the transaction. Having been a family run business over the past 35 years, Daintee has become a household name as one of the largest players in the confectionary space in Sri Lanka with an island-wide footprint and over 95,000 touchpoints.

Sunshine Holdings is one of Sri Lanka’s most respected conglomerates, with a core focus on healthcare, agribusiness, consumer goods and renewable energy. The group has a 50-year heritage that started as a prestigious family owned business, growing to become one of the most respected conglomerates Listed on the Colombo Stock Exchange bearing a name synonymous with quality. Commenting on the acquisition, Group Managing Director Vish Govindasamy said; “I believe this transaction positions the Sunshine Group on the path to becoming the leading FMCG conglomerate in Sri Lanka and is a strong statement about our vision to grow.”

CAL’s VP of investment banking Rizny Faisal said: “The transaction is a boost for the country’s capital markets in a post COVID landscape and has been a testament to CAL’s unwavering commitment to its’ clients, whilst solidifying CAL’s stance as Sri Lanka’s family business expert in investment banking.”