Posted on

Finance Management – Vallibel Finance 2013 – 2017


Finance Management – Vallibel Finance 2013 – 2017

Word Count 2770


Table of Contents

Company’s Return, Risk, and Beta for the last five year period
Capital Structure Analysis
Capital Structure
Cost of Capital of the Company
Newly undertaken Capital Budgeting Project

Additional information



Vallibel Finance PLC is a listed finance company in the Colombo Stock Exchange under the sector classification of Banking, Finance and Insurance. Established on 5th September, 1974 under the company registration number of PB 526/PQ, the company‘s principle place of operation is at No. 310, Galle Road, Colombo 03. Being a member of a sector which is highly sensitive in the economy, the company has assured its legal form in all the following way such as being a Public Limited Liability Company incorporated in Sri Lanka, registered as a Finance Company licensed under the Finance Business Act No.42 of 2011, being a Registered Finance Leasing Establishment in terms of Finance Leasing Act No.56 of 2000 as well as being an approved Credit Agency under the Mortgage Act No.6 of 1949 and Trust Receipt Ordinance No.12 of 1947.
Vallibel Finance PLC offers a range of products to its customers from Fixed Deposits to Leasing to Hire Purchase to Micro Finance to Personal Loans. The company has been rewarded for its excellence in the industry of finance several times by both local and international institutions and some of the awards are
• The fastest growing finance company in Sri Lanka in 2017 by Global Banking & Finance Review
• The most innovative finance product in Sri Lanka in 2017 by Global Banking & Finance Review
(Global Banking & Finance Review is a United Kingdom based global authority that rewards the financial institutions worldwide for their strategies, innovations and inspirational growth displaying and this is the first ever time a Sri Lankan company has achieved the duel prizes).
• In addition the company has been awarded the Sri Lanka’s Best Employer Brand in 2016 by World HRD Congress, Asian Confederation of Businesses and CMO Council.
(Vallibel Finance PLC, 2017)
To have become one of the most trusted and rewarded financial institutions in the country, the company is operating with the following vision and mission statements.

‘To change the financial landscape of our country; bringing more people in more areas to become stakeholders of a national reawakening. We are driven by relentless passion to seek out people who need help’.

‘Our work ethics involve working tirelessly to formulate and offer a financial product spread that understands the pulse of the people. Our search is for excellence in all we do including accountability in financial stewardship and in our responsibility towards customers, stakeholders and our country’.
The company comes under the Vallibel Group of Companies headed by one of the most admired and ambitious entrepreneur in the country, Mr. Dammika Perera who is also the chairman of Sampath Bank & Delmege Forsyth and the major share holder cum deputy chairman of Hayles, Royal Ceramics, LB Finance, Amaya Resorts and Pan Asia Banking Corporation.
In this report, the capital structure of the company, resulting risks and returns for the structure as well as a newly undertaken capital budget project will be evaluated.