Saturday Jul 04, 2026
Saturday Jul 04, 2026
Friday, 3 July 2026 00:00 - - {{hitsCtrl.values.hits}}
Sanasa Life Insurance Company PLC yesterday said it aims to restore its investment-grade credit rating within 15 months through an equity capital raising after its debt securities remained on the Colombo Stock Exchange (CSE) Watch List following a qualified audit opinion and an emphasis of matter on going concern in its 2025 financial statements.
The insurer said its audited financial statements for the year ended 31 December 2025, released to the market on 2 June 2026, contained a qualified audit opinion and an emphasis of matter relating to the company’s ability to continue as a going concern.
The company noted that its debt securities had already been transferred to the CSE Watch List with effect from 9 January 2026 after its credit rating was downgraded below investment grade. It said the qualified audit opinion and going concern emphasis constitute an additional reason for the securities to remain on the Watch List until the matters are resolved in accordance with the Listing Rules or a fresh rating certificate for the relevant financial year is disclosed to the market.
Sanasa Life said it is in the process of taking steps to resolve the issues within 15 months by upgrading its credit rating to investment grade through an equity capital raising. It added that a market announcement would be made once the capital-raising exercise is finalised.
The insurer also said that if there is any deviation from its proposed remedial action, it will notify investors through the CSE within one market day of obtaining Board approval for such changes.
The company further noted that if it fails to obtain a fresh credit rating or resolve the matters giving rise to the qualified audit opinion and the emphasis of matter on going concern within 15 months from the date its securities were transferred to the Watch List, trading of its securities will be suspended. If the suspension continues for more than 12 months, the CSE Board may delist the securities in terms of Section 14 of the Listing Rules.
It added that if the matters are resolved and independently verified by its auditor while the securities remain on the Watch List, the development will be disclosed to the market immediately through the CSE.
