📈 Lanka Walltiles to Raise Rs. 5 Bn via Rights Issue & Merge Plantation Arm

• Capital Raising: Lanka Walltiles PLC (LWL) plans to raise Rs. 5.01 Bn by issuing 128.47 Mn new voting shares at Rs. 39 each (ratio: 8 new shares for every 17 held). The new shares will account for 32% of the expanded share base. • Debt Restructuring: Proceeds will be used to partially pay off high-interest bank borrowings and overdue intercompany payables, significantly strengthening the company’s capital structure. • Corporate Amalgamation: Following the issue, LWL will amalgamate its wholly owned subsidiary, Vallibel Plantation Management Ltd., with LWL remaining as the surviving entity, subject to solvency checks. • Market & Ownership Context: The offer price of Rs. 39 represents a discount to LWL's last traded price of Rs. 43 and Net Asset Value of Rs. 83 (as of June 2026). Royal Ceramics Lanka PLC remains the principal shareholder with a 54.55% stake. • Regulatory Approvals: The transaction remains subject to CSE listing approval and shareholder consent at an upcoming EGM.