A prospective bidder for Canwill Holdings, a state-owned company that possesses the partially constructed ‘Hyatt’ building in Colombo, has expressed interest in the possibility of obtaining a casino license. This inquiry was made during a pre-bid meeting, as noted by the questions raised.
The Sri Lankan Finance Ministry has invited expressions of interest to pre-qualify bidders for the high-rise property, which is located adjacent to the Indian Ocean. During the meeting, investor bidders sought clarification on whether a casino license could be issued or transferred to the new investor. They were advised to seek independent legal counsel on the matter.
Additionally, prospective investors were informed that the land lease for 9.42 acres in Hambantota, held under a subsidiary named Helanco, had expired, and the government had not committed to extending the lease.
Several uncertainties were highlighted by investors, including questions regarding the validity of agreements with Hyatt. It was communicated that after pre-qualification, such investors would receive confidential information necessary for conducting due diligence, once a non-disclosure agreement is signed.
Questions were also raised about the availability of tax holidays under the Strategic Development Project. The government is awaiting clarification from the Board of Investment concerning the SDB and other potential concessions, with further information to be provided ‘in due course’ to pre-qualified bidders.
Investors expressed interest in details about any encumbrances related to the transfer of shares, as well as legal, financial, and contractual liabilities that may be passed on to investors, including potential litigation, arbitration, and claims by suppliers or government entities.
Inquiries were also made regarding the condition of the half-completed building, specifically the status of the lifts, escalators, and electrical and plumbing systems. Bidders will be afforded the opportunity to conduct due diligence following pre-qualification, and relevant information will be shared after signing a non-disclosure agreement.
(Colombo/Feb11/2026)
