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Sri Lanka Asia Capital to invest in hotels

Aug 20, 2011 (LBO) - Sri Lanka's listed Asia Capital, which has interests in financial services, leisure, will invest 700 million rupees in hotels and plans to take two operating units public in the next two years, an official said.
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Asia Capital got 3.3 billion rupees after selling out of Asian Alliance Insurance.


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"We sold our stake in Asian Alliance because we got the right price at the right time, at the time the investment matured," acting chief executive Stefan Abeyesinhe said.

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The firm is planning to invest around 1.5 billion rupees in expanding its businesses, including hotels.

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Asia Leisure, the group's leisure arm, plans build at least three luxury boutique hotels in Kalutara and Balapitiya in the Southwestern coast and in Trincomalee in the East.


"We are planning to invest around 700 million rupees for these hotel projects," Abeyesinhe said.

"We have already acquired one acre of land in Balapitiya and Trincomalee and is also looking for land in Kalutara and northern Jaffna.

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"

Each hotel will include around 35 to 40 rooms. The group is planning to list the hotel unit within two years Abeyesinhe said.

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Asia Leisure now operates four luxury boutique hotels: Park Street Hotel in Colombo, River

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