Lotus Renewable Energy Group has stated that Hatton Plantations (HPL), which it acquired recently, will be a valuable addition to its parent company, G&G Group. “We have long admired HPL as a world renowned and highly respected tea company that is by some distance the market leader in its field. HPL will be an excellent strategic fit within G&G Group as we invest to capture the very significant opportunities provided by the tea industry,” said Chairman Gary Seaton in a press release. Lotus Renewable Energy Group announced the acquisition of HPL, a public quoted company, in a Rs. 1 billion stock market deal recently via a crossing on the Colombo Stock Exchange. Lotus will acquire HPL assets, its top pool of talent, and continue its practise of volume and effective management practices, along with crop rotation and management of timber assets. The business will operate under the Lotus brand. HPL, with 14 estates and 11 factories, is one of Sri Lanka’s frontline tea producing companies, with plantations in 7,206 hectares of arable land, at elevations reaching 4,800 feet above sea level. Eight to none million kilograms of tea are produced per annum in its factories, and the company employs upwards of 7,000 workers. Lotus, which provides intelligent renewable energy solutions, is strong in collaborations that keep the organisation connected. Its rich heritage in renewable energy solutions combined with long-standing partnerships will further strengthen with this acquisition, which branches into the crop processing area, while strengthening its renewables capability. Hatton Plantations is a group company of CSE-listed Sunshine Holdings (SUN), and Lotus is the Sri Lankan subsidiary of G&G, Singapore. “We have been doing these types of acquisitions despite the volatility in the agricultural sector, and despite the disappointing overall risk laden market prognosis, due to the Easter Sunday attacks. G&G specialises in unblocking underutilised companies and their potential, which is why we made this acquisition despite the current risk perceptions,” said Lotus Director Gowri Shankar, who said one goal is to “support Sri Lanka at the time of need”. Lotus previously acquired Lotus Hydro Power (formerly Browns) and Zyrex Power, in a rapid expansions spree within just three years. Lotus Hydro Director Indrajith Fernando, also finance professional with over 30 years’ experience in the plantations value chain, commented: “Strategic investor G&G and Lotus have great potential and mega investment plans. The need for flexibility and commitment for good governance during challenging times stressed by investors to the authorities and regulators at the recently concluded highly successful Singapore Investor Forum could be the boost in realising these benefits.” “This investment also marks our strong commitment to Sri Lanka and the competitive advantage provided by the deep pool of talent in Sri Lanka,” said Lotus Renewable Energy (Pvt.) Ltd. Director Menaka Athukorala. “Lotus’s acquisition of Hatton Plantations is another in a series of potential major investments in Sri Lanka. It’s a growth opportunity for Lotus through an extended operational boost combining both Lotus’s and HP’s strengths. G&G, the parent company of Lotus, has cast its net wide, with interests in the strategic sectors of renewable energy and sustainable agriculture,” Fernando said. Lotus is G&G’s local subsidiary. Since inception, Lotus’s business and service orientation has evolved to meet the unique demands of the dynamic and maturing renewables market. Lotus operates across India, Sri Lanka, Singapore, and Australia. In Australia, the company operates under the name Sunmania (Pvt.) Ltd. ‘G&G believes the two companies have vision and innovation to attract and develop top talent. There are commonalities that would combine to capture future opportunities,’ Shankar added.