Kotagala Plantations to amalgamate with RAPC

Kotagala Plantations PLC (KPPLC) has resolved to amalgamate with its 99.999%-owned subsidiary, Rubber and Allied Products (Colombo) Ltd (RAPC), subject to shareholder approval.

The decision was made by the Board of Directors on September 1, 2026, in terms of Section 239 of the Companies Act No. 7 of 2007 and follows the requirements of Section 8 of the Listing Rules of the Colombo Stock Exchange.

The 1,506,000 shares of RAPC will not be converted into shares of KPPLC. Instead, the nine RAPC shareholders other than KPPLC will receive a cash consideration of Rs. 8.10 for each share held.

Upon completion of the amalgamation, the shares held by KPPLC in RAPC will be cancelled in accordance with Section 240(3)(a) of the Companies Act.

Kotagala Plantations PLC will remain the continuing company following the amalgamation, while the current directors of KPPLC will continue as directors of the amalgamated company.

A Circular to Shareholders and a Notice convening an Extraordinary General Meeting will be issued shortly.