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New Wicket


The Asia Capital Group on Monday disposed its shareholding in its associated company, Capital Alliance Ltd., for Rs. 36 mn.
Capital Alliance which specialises in debt market transactions, secured a primary dealer licence last November.
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rnTwo years ago, Asia Capital floated the debt market operation taking up a 20 percent stake for Rs. 20 mn. rn

rnAsia Capital had an option of picking up a further 20 percent. rn

rnWhen Capital Alliance went for a rights issue last year, the Asia Capital Group opted not to subscribe for it. Instead, Capital Alliance had invited new investors, which also included the Jetwing Group.

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rnHowever, Asia Capital subsequently opted to sell out its minority stake and options at a premium price to a consortium led by the Jetwing Group and senior employees of Capital Alliance, Capital Alliance CEO, Ajith Fernando said.rn

rnSenior employees currently hold 20 percent of the debt market firm. The Jetwing Group picks up the bulk of the balance with the David Pieris Group coming in to take a minority stake.

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