New owners of Browns Hydro aim to apply for PPP in state plantations

Lotus Renewable Energy (Pvt) Ltd (Lotus), which purchased 72.13 per cent of the shares in Browns Hydro Power PLC (Browns Hydro) recently and is gearing to make a mandatory offer to the shareholders of this company, says that their aim is to use this new company to expand in the renewable energy space.

"We will be using this listed company as a vehicle to expand in the hydro and solar power industries," Menaka Athukorale, Director Lotus told the Business Times.

He said that in this respect, Lotus will be showing their interest when the Public Enterprises Development Ministry calls for proposals for to invest in state plantations which will include hydro power projects. In one month's time the ministry is to call for proposals for all the agricultural plantations under Public Private Partnerships (PPP), according to one official.

They said so far the ministry has received some 80 unsolicited projects proposals. The official said that they will also be called to apply.

"We'll definitely apply for projects involving hydro power," Mr. Athukorale said. The company is to make a mandatory offer to purchase the remaining 30,397,900 issued shares aggregating to a total of 27.87 per cent for balance shares of Browns Hydro at a price of Rs. 7 per share, being the highest price paid by them.

Dr T. Senthilverl, the holder of 13,323,770 shares in Browns Hydro, has informed the company in writing that he would not be accepting any offer to purchase his shares, a statement filed with the Colombo Stock Exchange said.