Wednesday, December 8, 2021

LOLC General Insurance IPO opens on Dec. 16

LOLC General Insurance Limited has announced an Initial Public Offering (IPO) which will open on December 16, 2021. 120,000,000 shares held by LOLC Asset Holdings Limited will be offered for sale at a price of Rs. 7.90 per share.

The offer size will amount to Rs. 948,000,000. Post IPO LOLC Group Companies; LOLC Asset Holdings Limited will have a shareholding of 63.75% and LOLC Financial Sector Holdings (Pvt) Ltd will have a shareholding of 26.25%.

LOLC General Insurance Limited is one of the fastest growing General Insurance Companies in Sri Lanka.

The LOLC Group is one of Sri Lanka’s largest diversified Financial Conglomerates with international presence. Being part of such a large conglomerate enables LOLC General Insurance to benefit through synergies within the Group. LOLC General Insurance has a steady stream of business from captive channels within the LOLC Group’s finance and leasing operations.

Leveraging on the LOLC Group’s global synergies and expansions, LOLC General Insurance has expanded its operation into Cambodia. The Company currently owns a 45% stake in Serendib Micro Insurance PLC in Cambodia. Furthermore, the Company is well placed to replicate its strategy in Sri Lanka in the future and in other offshore markets where LOLC Group has already an established presence.

LOLG General Insurance Chief Executive Officer, Kithsiri Gunawardena (Pictured) stated, “We are excited with the prospect of being able to highlight our performance and share our success with the public by becoming Listed on the Colombo Stock Exchange. Strong reliance on the latest technology, innovative thinking and the commitment of our staff to provide exceptional customer service has propelled the company to become the fastest growing General Insurance Company.”

The IPO is managed by Capital Trust Partners (Pvt) Ltd and P W Secretarial (Pvt) Ltd. The IPO price per share of LKR.7.90 offers an immediate upside of 49.4% to an incoming investor on the value per share of LKR. 11.80; derived from a combination of discounted cash flow (DCF) and forward-earnings ratio (PER) valuation method.

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