Colombo, 25 August 2026 – PEGASUS HOTELS OF CEYLON PLC (CSE: PEG), a prominent player in Sri Lanka’s hospitality sector, has announced an Extraordinary General Meeting (EGM) to seek shareholder approval for a significant share sub-division. The move, aimed at enhancing share liquidity and accessibility for investors, will see each existing ordinary share divided into two new ordinary shares.
The EGM is scheduled to take place on Friday, 11th September 2026, at 9:30 a.m., at the Auditorium, Ground Floor, The Ceylon Chamber of Commerce, No.50, Nawam Mawatha, Colombo 2, Sri Lanka. Shareholders will convene to consider and, if thought fit, pass an Ordinary Resolution for this corporate action.
Key Details of the Proposed Share Sub-Division
According to the Notice of Meeting issued by the company, the core proposal is:
- Every one (01) existing ordinary share held by each shareholder will be sub-divided into two (02) ordinary shares.
- This will effectively increase the total number of shares in issue from the current 42,210,470 ordinary shares to 84,420,940 ordinary shares.
- Crucially, the sub-division will be made without any change to the existing Stated Capital of the Company, which stands at Sri Lanka Rupees Seven Hundred and Fifty-One Million Five Hundred and Forty-Eight Thousand Three Hundred and Twenty-One and Cents Fifty Only (Rs. 751,548,321/50).
- The rights of the newly sub-divided shares will remain identical to the existing shares, ensuring the relative voting and distribution rights of shareholders are unaffected.
- The sub-division will be based on shareholdings as at the end of trading on the Record Date/Entitlement Date, which is set for Tuesday, 15th September 2026. This date is the 2nd Market Day from and excluding the EGM date, in line with Colombo Stock Exchange regulations.
Extraordinary General Meeting Logistics
Shareholders unable to attend the EGM in person are entitled to appoint a proxy to attend and vote on their behalf. A Form of Proxy has been made available alongside the Notice of Meeting. To be valid, completed Proxy Forms must be submitted to the Company no later than 4:45 p.m. on Wednesday, 09th September 2026.
Proxy submission options include:
- Via email to PEGEGM2026@carcumb.com
- Via WhatsApp to mobile numbers +94 764 765 463 or +94 767 410 683
- By hand or post to the registered office of the Company, No. 61, Janadhipathi Mawatha, Colombo 1.
Attendees, whether shareholders or proxies, are kindly requested to produce their National Identity Card for security verification at the entrance lobby.
Implications for Investors
A share sub-division, commonly known as a stock split, typically aims to increase the number of shares outstanding while decreasing the price per share proportionally. This strategy often makes the shares more affordable and liquid, potentially attracting a broader base of investors. For existing shareholders of PEGASUS HOTELS OF CEYLON PLC, this move means they will hold twice the number of shares, each valued at approximately half its previous price, without altering the total value of their investment in the company.
The decision by Pegasus Hotels of Ceylon PLC, a company known for its contribution to Sri Lanka’s tourism infrastructure, reflects a strategic effort to optimize its capital structure and enhance shareholder value through increased market activity. Investors are encouraged to review the full EGM notice and proxy form for comprehensive details.
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