The trading for securities of Browns Beach Hotels PLC (BBH) on the Colombo Stock Exchange (CSE) will be suspended with effect from today (28), as part of the company’s formal delisting which took place at the end of the trading day, yesterday (27).

The decision to delist follows a board resolution in early 2026, amid a prolonged deterioration in the company’s financial position. Browns Beach Hotels has reported sustained losses since 2019, initially impacted by the Easter Sunday attacks and later by the Covid-19 pandemic and the broader economic crisis.

The company has also indicated that expected tourism sector revenues are unlikely to be sufficient to address growing concerns highlighted in its 2024 audit report. In addition, it has failed to meet minimum public float requirements and continues to report a negative net asset position, limiting the possibility of dividend distributions.

As part of the delisting process, majority shareholders Melstacorp PLC and Aitken Spence Hotel Holdings PLC have offered minority shareholders an exit price of Rs. 30.00 per share.

The offer, determined based on an independent valuation by BDO Partners, represents a premium over both the volume-weighted average price (VWAP) of Rs. 18.58 and the estimated intrinsic value of the shares.