Anilana Hotels launches Rs. 960 m IPO with confidence

• Asanga Seneviratne urges all to visit east coast; says “no better salesmen for Sri Lanka than all of us”

Despite being the first IPO in over a year, Anilana Hotels and Properties Ltd., on Wednesday launched its Rs. 960 million equity raising exercise with confidence largely encouraged by the future potential of its business and the rebound in post-war tourism.

Funds raised in the IPO are to be used in a massive expansion drive for the property chain, headed by entrepreneur Asanga Seneviratne. Anilana aims to build and launch several new hotels totaling at least 450 rooms across the country within the next three years. It already has a unique resort in Passekudah.

“Following the end of the 30-year conflict, Sri Lanka is well placed to prosper with peaceful settings drawing large number of tourists. Anilana with its expansion plans is harnessing this potential. I encourage all to visit the east coast and see the potential and revival. There are no better salesmen than all of us,” Asanga told a host of top business leaders, professionals, celebrities, stock brokers and fund managers at the launch on Wednesday night.

Anilana Hotels and Properties’ IPO (up for subscription now with its official opening on 12 June) involves the issuance of 40 million shares at Rs. 12 each with an option to upsize it for an equal amount in the event of oversubscription.

The company said the proposed expansion drive will expand Anilana’s portfolio to include resorts in Passekudah, Nilaveli, Dambulla, Panichchankani, Seladive Island, Vakarai and Blue Lagoon.

 These unique and luxurious hotels have been designed to showcase the great natural beauty of several unspoiled destinations, with stylish and contemporary facilities. With plans to become the leading hotelier and property developer on the east coast with its planned expansion projects, Anilana is growing and currently has an estimated fair value of approximately Rs. 5.5 billion.

The recent opening of Anilana Passekudah has been welcomed with positive reviews and Anilana Nilaveli is expected to open in the next few months, hotels in Dambulla and Panichchankeri will be opened shortly afterwards. The hotels offer a wide range of accommodations ranging from oversized deluxe rooms, family oriented split-level lofts, beach chalets with amazing ocean views, secluded water bungalows and suites to meet the needs of the more demanding travellers. Anilana marketing strategies target a cross-section of high-end tourists both foreign and local, including high spending tourists from Europe and newly emerging markets such as China, Russia and India.

Anilana has set the goal of providing high standards of comfort, thoughtful and friendly services and creating authentic and delicious food. These standards of hospitality are very high and the training and development of their young and motivated staff is a key consideration in these strategies. Anilana aims to satisfy the needs of discerning travellers, who are searching for an emerging and exciting new destination; the east coast of Sri Lanka.  

The company is currently in discussions with several established international hotel chains as part of the Anilana strategy is to partner with global brands on a shared equity basis. This would provide sales distribution and overseas management opportunities and help the Anilana brand to develop a strong reputation in overseas markets.

The company said further growth also looks positive with further developments being planned within Anilana, including large mixed-purpose developments in their conceptual pipeline, including prime location sites in Colombo.