Wednesday Sep 02, 2026
Wednesday Sep 02, 2026
Wednesday, 2 September 2026 00:20 - - {{hitsCtrl.values.hits}}
Union Bank of Colombo PLC has proposed a Rs. 708.4 million Rights Issue to strengthen its Tier 1 capital adequacy and support expansion of its loan book.
The bank’s Board, at its meeting on 31 August, resolved to recommend to shareholders a Rights Issue of up to 67,722,396 new ordinary voting shares at Rs. 10.46 each, on the basis of one new share for every 16 existing ordinary voting shares.
The proposed issue is subject to the Colombo Stock Exchange granting approval in principle for the issue and listing of the new shares, as well as shareholder approval at an Extraordinary General Meeting (EGM).
The bank’s stated capital as at 30 June 2026 stood at Rs.16.33 billion. The bank reported net assets of Rs. 19 per share as of end-June 2026. Culture Financial Holdings Ltd., was the largest shareholder with a 70.84% stake followed by Vista knowledge Ltd., with 5.97% and Associated Electrical Corporations Ltd., with 2.63%.
An EGM will be convened to obtain the required shareholder approval for the proposed Rights Issue.
