E.B. Creasy invests Rs. 500 m in Darley Butler

Monday, 29 December 2025 05:43 - - {{hitsCtrl.values.hits}}

E.B. Creasy & Co., PLC (EBC) said on Friday it had invested Rs. 500 million in its subsidiary, Darley Butler & Co., Ltd., (DBCL), as part of the objectives of its Rights Issue of shares.

The company said the investment was made through the purchase of 2,393,490 ordinary shares of DBCL at a price of Rs. 208.90 per share on 24 December.

EBC closed Friday on the up, gaining Rs. 0.50 to Rs. 64.80.

EBC said the transaction was intended to enable DBCL to settle its short-term interest-bearing borrowings, thereby reducing interest expenses and improving the subsidiary’s gearing position. This, in turn, is expected to enhance profitability and strengthen the Group’s consolidated balance sheet.

The company said the Related Party Transactions Review Committee was of the view that the transaction had been carried out on normal commercial terms and was not prejudicial to the interests of the entity or its minority shareholders. The Committee has not obtained an opinion from an independent expert prior to forming its view on the transaction.

EBC said the aggregate value of related party transactions with DBCL for the financial period 2025/26 amounted to over Rs. 13.7 billion inclusive of the above transaction. The aggregate value of all non-recurrent related party transactions of the company for the financial period 2025/26 was Rs. 5.07 billion, inclusive of the said transaction.