Ramanan to unlock value at Industrial Asphalt
G. Ramanan, the new major shareholder at Industrial Asphalts (Ceylon) PLC (IAP), says that he has a game plan to turn the company around and unlock its true potential.
“This is a 50-year old iconic company. I want to rebuild the company and give life to all the brands and unlock its true value,” he told the Business Times. Mr. Ramanan upped his stake from just over a 1000 shares to 442,087 shares last week and now holds 66.35 per cent in IAP. He bought this stake from the Joseph family. J.V.R. Joseph was the former chairman at IAP.
IAP incorporated in 1964 engages in the manufacture and distribution of bituminous products in Sri Lanka. The company also distributes surface coatings and industrial chemicals and is based in Peliyagoda. Its brands include those such as Britex, NOLEAK and Sealkote.
The current market capitalization of this company is Rs. 180 million, but Mr. Ramanan says its’ worth much more. He wants to promote its brands more in order to release its potential. “My family is in this source trade and I am comfortable with this business,” he said, adding that his family members too will assist him to scale up the company. He said that the decision to change the company’s name hasn’t been arrived at as yet. He is also likely to pump in more money.
Amongst the 300 other shareholders, the Gnanam family and Dr. S. Senthiverl feature as other prominent shareholders.
“This segment isn’t fiercely competed in and it’s a company with good brand name. This gives me an edge,” he said.