The Rights Issue comprised 45,162,012 ordinary voting shares and raised a total of LKR 1,503.9 million. The newly issued shares were listed on the Colombo Stock Exchange on September 15th, 2026.
The successful capital raise comes amid strong operating performance at Asia Asset Finance. During Q1 FY26/27, the company's loan portfolio stood at LKR 5,270 crore, compared with LKR 3,492 crore in Q1 FY26/27, representing year-on-year growth of 51%. Total revenue increased by 72% year-on-year to LKR 357 crore, compared with LKR 207 crore in the corresponding period last year. Profit after tax rose to LKR 43 crore from LKR 18 crore in Q1 FY26/27, marking a 137% year-on-year increase.
The proceeds from the Rights Issue are expected to further strengthen AAF's capital position and enhance its capacity to support the continued expansion of its lending operations. The additional capital comes as the company builds on growth across its loan portfolio, revenue and profitability.
George Alexander Muthoot, Managing Director of Muthoot Finance, said, “The successful completion of Asia Asset Finance’s Rights Issue, with the issue being oversubscribed by approximately 1.3 times, is a significant milestone for the company and reflects the confidence of shareholders in its growth journey. The capital raised will further strengthen AAF’s capital position and provide a stronger foundation to support its business expansion. With the company delivering strong growth across its loan portfolio, revenue and profitability in Q1 FY26/27, Asia Asset Finance is well positioned to build on this momentum and deepen its presence in Sri Lanka’s financial services landscape. Muthoot Finance remains committed to supporting AAF’s long-term growth and its efforts to create sustainable value for customers and shareholders.”
Asia Asset Finance operates across Sri Lanka, offering a diversified range of financial solutions, including gold loans, leasing, mortgage loans, Securitized Corporate Loans and public deposits. The company's continued growth reflects increasing demand for accessible financial services among individuals and businesses across the country.
About Asia Asset Finance PLC
Asia Asset Finance PLC (AAF) is a Sri Lanka-based financial services company incorporated in 1970. It is a fully licensed, deposit-taking institution registered with the Central Bank of Sri Lanka under the Finance Business Act No. 42 of 2011.
A listed subsidiary of Muthoot Finance Ltd., which holds 78.41% of AAF’s equity share capital, the company provides a diversified portfolio of financial solutions, including gold loans, leasing, mortgage loans, personal loans, Securitized corporate loans and public deposits, serving individuals and businesses across Sri Lanka.
The company is rated Fitch A+ with a Stable Outlook and continues to focus on providing accessible financial solutions to customers and businesses. Its vision is centred on “Empowering People and Transforming Lives.”
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