FE Report
The IPO lottery draw of Provati Insurance Limited will be held on December 15 subject to approval of the Securities and Exchange Commission (SEC), the company sources said.
The initial public offering (IPO) of the company received an overwhelming response from the applicants, who deposited more than Tk 5.06 billion (506 crore), 56.23 times the value of the total IPO shares worth Tk 90 million (9 crore) on offer for subscription.
The refund warrants of the unsuccessful applicants will be sent back to their respective bank accounts during December 18 to 23 from Dhaka Zilla Krira Sangstha and Motijheel AGB Colony Community Centre, the company sources told the FE.
"Provati Insurance saw the second such rush for IPO subscription after Grameenphone. The market lot of Provati was suitable for the subscribers, if their capability is taken into account. This is the main reason of the overwhelming response of the applicants," Mohsin Reza, office secretary of Provati's issue manager AAA Consultants & Financial Advisers Limited, told the FE.
The face value of a share is Tk 100 and the market lot contains 50 shares. The company takes no premium.
According to the prospectus of the company, its earning per share (EPS) and net asset value (NAV) per share were Tk 20.29 and Tk 176.29 respectively as of December 31, 2008. Its paid-up capital is Tk 150 million (15 crore).
Thursday, December 3, 2009
Brummer to set up new Bangladesh stocks fund
Brummer & Partners, the largest Scandinavian hedge-fund manager, plans to set up a fund to buy Bangladeshi stocks, betting the south Asian nation will attract investors seeking the world's next low-cost labour hub, reports Bloomberg.
The fund "should not be larger than $100 million" as only about a third of Bangladeshi companies' outstanding shares are publicly traded, said Patrik Brummer, founder of the Stockholm- based company, whose assets are at their peak of about $7 billion. The fund will be formed within the next three months, he said.
The nation of 162 million people, equivalent to about half of the population of the U.S., may join the ranks of the fastest-growing economies in the region as it benefits from its geographical proximity to India and China and low labor costs. The economy, which expanded 5.9 percent in the year to June, was shielded from the financial crisis because of its "limited integration" in the global economy, according to the World Bank.
"If you believe in labor arbitrage as a true trend, that will benefit Bangladesh," Brummer, 60, said in an interview at the three-year-old Westin Dhaka hotel. "The predictability for this country is much higher than most countries that I know of; it is largely uncorrelated to the world economy."
Bangladesh's ready-made garment exports have shown resilience because of the so-called Wal-Mart effect, where consumers substitute more expensive products for cheaper ones such as those from the South Asian nation, the World Bank said in a September report. Buyers are also shifting production to Bangladesh, which may have become the world's lowest-cost producer, from China, the Washington-based bank said.
Goldman Sachs Group Inc. in December 2005 included Bangladesh in a list of 11 developing countries that, according to its analysts, have the greatest potential to emulate the long-term economic success expected from China, India, Brazil and Russia. JPMorgan Chase & Co. named Bangladesh one of the "Frontier Five" markets worth investigating in an April 2007 note, along with Kazakhstan, Kenya, Nigeria and Vietnam.
"Bangladesh has a lot of raw potential and is full of opportunities for those ready to dig in," said Douglas Clayton, Phnom Penh-based founder of Leopard Capital LP, which manages a Cambodia private-equity fund and is raising money to invest in Sri Lanka. "In time, we'll probably launch a fund here."
The Dhaka Stock Exchange General Index, which gained 21 percent this year, eclipsed its previous high reached in 1996 as shares of GrameenPhone Ltd., Bangladesh's largest mobile-phone company, almost tripled on debut on Nov. 16. GrameenPhone, controlled by Norway's Telenor ASA, raised 4.9 billion taka ($71 million) in Bangladesh's biggest initial public offering.
The stock market's daily turnover has grown to about $100 million over the last few months, from an average of $20 million a day in 2007, according to Brummer.
"One danger in this kind of an environment is that you get a bubble at one stage," Brummer said. "If a lot of foreign investors take an interest in this market, being such a small market, then it can explode."
The manager set up in July 2008 a Bangladesh hybrid fund to invest in stocks and private equity. About half of that fund's $53 million will go into a private-equity fund, which the firm started this year. The International Finance Corp., part of the World Bank, has committed $10 million to the private-equity fund, which is set to attract more money from other investors, he said.
The private-equity fund, targeting returns of at least 20 percent, plans to hold minority stakes in "successful companies that have a bright future," Brummer said. It has invested in the export business of Bangladesh's largest automotive battery maker and a supermarket chain operator, both part of Dhaka-based Rahimafrooz Group.
"There has been a lot of change in the city of Dhaka, a lot of construction activity," said Brummer, who first visited the capital city in 2005 and travels there four times a year.
The Stockholm-based manager is an investor in bracNet, a wireless broadband company in Bangladesh that Khalid Quadir, who runs Brummer & Partners' unit in Dhaka, started in 2005. KDDI Corp., Japan's second-largest mobile-phone operator, agreed to buy 50 percent of bracNet on Nov. 12.
Brummer started his hedge-fund business in 1996 after spending 22 years at Alfred Berg, the largest brokerage in the Nordic region. Alfred Berg was acquired by ABN Amro Holding NV in 1995.
Brummer & Partners attracted net inflows of $1.7 billion this year, he said.
The firm's multi-strategy fund, which invests in Brummer & Partners' own strategies and accounts for more than a third of its total assets, "has become a very popular vehicle," he said.
The fund "should not be larger than $100 million" as only about a third of Bangladeshi companies' outstanding shares are publicly traded, said Patrik Brummer, founder of the Stockholm- based company, whose assets are at their peak of about $7 billion. The fund will be formed within the next three months, he said.
The nation of 162 million people, equivalent to about half of the population of the U.S., may join the ranks of the fastest-growing economies in the region as it benefits from its geographical proximity to India and China and low labor costs. The economy, which expanded 5.9 percent in the year to June, was shielded from the financial crisis because of its "limited integration" in the global economy, according to the World Bank.
"If you believe in labor arbitrage as a true trend, that will benefit Bangladesh," Brummer, 60, said in an interview at the three-year-old Westin Dhaka hotel. "The predictability for this country is much higher than most countries that I know of; it is largely uncorrelated to the world economy."
Bangladesh's ready-made garment exports have shown resilience because of the so-called Wal-Mart effect, where consumers substitute more expensive products for cheaper ones such as those from the South Asian nation, the World Bank said in a September report. Buyers are also shifting production to Bangladesh, which may have become the world's lowest-cost producer, from China, the Washington-based bank said.
Goldman Sachs Group Inc. in December 2005 included Bangladesh in a list of 11 developing countries that, according to its analysts, have the greatest potential to emulate the long-term economic success expected from China, India, Brazil and Russia. JPMorgan Chase & Co. named Bangladesh one of the "Frontier Five" markets worth investigating in an April 2007 note, along with Kazakhstan, Kenya, Nigeria and Vietnam.
"Bangladesh has a lot of raw potential and is full of opportunities for those ready to dig in," said Douglas Clayton, Phnom Penh-based founder of Leopard Capital LP, which manages a Cambodia private-equity fund and is raising money to invest in Sri Lanka. "In time, we'll probably launch a fund here."
The Dhaka Stock Exchange General Index, which gained 21 percent this year, eclipsed its previous high reached in 1996 as shares of GrameenPhone Ltd., Bangladesh's largest mobile-phone company, almost tripled on debut on Nov. 16. GrameenPhone, controlled by Norway's Telenor ASA, raised 4.9 billion taka ($71 million) in Bangladesh's biggest initial public offering.
The stock market's daily turnover has grown to about $100 million over the last few months, from an average of $20 million a day in 2007, according to Brummer.
"One danger in this kind of an environment is that you get a bubble at one stage," Brummer said. "If a lot of foreign investors take an interest in this market, being such a small market, then it can explode."
The manager set up in July 2008 a Bangladesh hybrid fund to invest in stocks and private equity. About half of that fund's $53 million will go into a private-equity fund, which the firm started this year. The International Finance Corp., part of the World Bank, has committed $10 million to the private-equity fund, which is set to attract more money from other investors, he said.
The private-equity fund, targeting returns of at least 20 percent, plans to hold minority stakes in "successful companies that have a bright future," Brummer said. It has invested in the export business of Bangladesh's largest automotive battery maker and a supermarket chain operator, both part of Dhaka-based Rahimafrooz Group.
"There has been a lot of change in the city of Dhaka, a lot of construction activity," said Brummer, who first visited the capital city in 2005 and travels there four times a year.
The Stockholm-based manager is an investor in bracNet, a wireless broadband company in Bangladesh that Khalid Quadir, who runs Brummer & Partners' unit in Dhaka, started in 2005. KDDI Corp., Japan's second-largest mobile-phone operator, agreed to buy 50 percent of bracNet on Nov. 12.
Brummer started his hedge-fund business in 1996 after spending 22 years at Alfred Berg, the largest brokerage in the Nordic region. Alfred Berg was acquired by ABN Amro Holding NV in 1995.
Brummer & Partners attracted net inflows of $1.7 billion this year, he said.
The firm's multi-strategy fund, which invests in Brummer & Partners' own strategies and accounts for more than a third of its total assets, "has become a very popular vehicle," he said.
Banglalink set to raise Tk 4.25b through issuing bonds
Kayes M Sohel
Banglalink is set to raise Tk 4.25 billion through issuing bonds, a sign that paves the way to shore up the country's ailing bond market, officials said Wednesday.
The bonds are the second of its kind for Bangladesh's capital market after Grameenphone, the country's telecom giant, that issued same amount in August last year.
The country's second largest mobile operator, controlled by Egypt's Orascom Telecom Holding S.A.E. and Orascom Telecom Ventures Ltd, has received the green light from the Securities and Exchange Commission to raise the funds through private placement, a SEC high official told the FE.
According to the official, the value of the four and a half- year tenure bond will be Tk 10 million each and the coupon rate will be no more than 13.5 per cent annually. The bonds will be amortized.
A bond is a debt instrument, in which the issuer owes the holder a debt and is obliged to repay the principal and interest at maturity.
"We have approved Banglalink's proposal to raise the funds from the bond market," said a senior official of the securities regulator.
The fund will be used for expansion of Banglalink's function in the country and will be raised funds amongst institutions like banks, insurance companies, non-banking financial institutions in Bangladesh, said an official of the Banglalink.
US banking giant Citibank, N.A's Dhaka office is the placement agent and lead arranger for raising the funds.
The mobile operator's operating profit increased 25 percent to Tk 18.01 billion in the third quarter to September 2009 in the same period a year earlier.
The company's market share has also increased to 24.0 per cent against the last year's Q3 22.5 per cent.
In the six-operator market, however, Banglalink is in the second position with 12.27 million customers as of October this year.
Analysts said Banglalink's entry to the bond market after GP would help develop the country's bond market.
"It's a good move for making the bond market vibrant," said Fazlur Rahman, deputy managing director of AB Bank.
He, however, said the problem in Bangladesh's bond market is that bonds are not easily tradable.
"The market for bonds is so limited, which means that buyers have to hold them up to the maturity period. This is one of the reasons for limiting the growth of the bond market," he said.
Another bankers suggested that there should be scope to trade bonds easily so that buyers can liquidate their holdings whenever they need.
Banglalink is set to raise Tk 4.25 billion through issuing bonds, a sign that paves the way to shore up the country's ailing bond market, officials said Wednesday.
The bonds are the second of its kind for Bangladesh's capital market after Grameenphone, the country's telecom giant, that issued same amount in August last year.
The country's second largest mobile operator, controlled by Egypt's Orascom Telecom Holding S.A.E. and Orascom Telecom Ventures Ltd, has received the green light from the Securities and Exchange Commission to raise the funds through private placement, a SEC high official told the FE.
According to the official, the value of the four and a half- year tenure bond will be Tk 10 million each and the coupon rate will be no more than 13.5 per cent annually. The bonds will be amortized.
A bond is a debt instrument, in which the issuer owes the holder a debt and is obliged to repay the principal and interest at maturity.
"We have approved Banglalink's proposal to raise the funds from the bond market," said a senior official of the securities regulator.
The fund will be used for expansion of Banglalink's function in the country and will be raised funds amongst institutions like banks, insurance companies, non-banking financial institutions in Bangladesh, said an official of the Banglalink.
US banking giant Citibank, N.A's Dhaka office is the placement agent and lead arranger for raising the funds.
The mobile operator's operating profit increased 25 percent to Tk 18.01 billion in the third quarter to September 2009 in the same period a year earlier.
The company's market share has also increased to 24.0 per cent against the last year's Q3 22.5 per cent.
In the six-operator market, however, Banglalink is in the second position with 12.27 million customers as of October this year.
Analysts said Banglalink's entry to the bond market after GP would help develop the country's bond market.
"It's a good move for making the bond market vibrant," said Fazlur Rahman, deputy managing director of AB Bank.
He, however, said the problem in Bangladesh's bond market is that bonds are not easily tradable.
"The market for bonds is so limited, which means that buyers have to hold them up to the maturity period. This is one of the reasons for limiting the growth of the bond market," he said.
Another bankers suggested that there should be scope to trade bonds easily so that buyers can liquidate their holdings whenever they need.
Dhaka stocks fall on profit taking
FE Report
Dhaka stocks fell slightly on profit taking Wednesday, ending the seven straight sessions of gaining streak.
Trading at the Dhaka Stock Exchange (DSE), however, moved into the positive territory in the first five minutes before losing the momentum.
During the rest of the time the roller-coaster trading continued as investors indulged in profit taking in the banking sector, which gained for three consecutive sessions.
The benchmark DSE General Index (DGEN) shed 20.49 points or 0.46 per cent to close at 4,403.52.
The broader DSE All Shares Price Index (DSI) lost 13.21 points or 0.35 per cent to close at 3659.34 while the DSE-20 blue chip index ended at 2567.33, down by 17.78 points or 0.68 per cent.
"The two stock market heavyweights--banking and telecommunication sectors- pulled the market down," said BRAC-EPL, an investment bank, in a market analysis.
Losers beat gainers as out of 236 issues traded, 103 advanced, 125 lost and eight remained unchanged.
The turnover remained almost unchanged at Tk 10.33 billion (1,033 crore), down by 2.0 per cent from that of the previous session.
The telecommunication sector edged lower in the second consecutive session. The shares of the country's telecom giant Grameenphone lost 1.47 per cent to Tk 174.70 each.
Banking issues, the market's bellwether, lost 1.85 per cent. Almost all the banks lost except Rupali Bank and Bank Asia.
But non-banking financial institutions (NBFIs) were up while mutual funds lost for the fourth successive session.
Dhaka stocks fell slightly on profit taking Wednesday, ending the seven straight sessions of gaining streak.
Trading at the Dhaka Stock Exchange (DSE), however, moved into the positive territory in the first five minutes before losing the momentum.
During the rest of the time the roller-coaster trading continued as investors indulged in profit taking in the banking sector, which gained for three consecutive sessions.
The benchmark DSE General Index (DGEN) shed 20.49 points or 0.46 per cent to close at 4,403.52.
The broader DSE All Shares Price Index (DSI) lost 13.21 points or 0.35 per cent to close at 3659.34 while the DSE-20 blue chip index ended at 2567.33, down by 17.78 points or 0.68 per cent.
"The two stock market heavyweights--banking and telecommunication sectors- pulled the market down," said BRAC-EPL, an investment bank, in a market analysis.
Losers beat gainers as out of 236 issues traded, 103 advanced, 125 lost and eight remained unchanged.
The turnover remained almost unchanged at Tk 10.33 billion (1,033 crore), down by 2.0 per cent from that of the previous session.
The telecommunication sector edged lower in the second consecutive session. The shares of the country's telecom giant Grameenphone lost 1.47 per cent to Tk 174.70 each.
Banking issues, the market's bellwether, lost 1.85 per cent. Almost all the banks lost except Rupali Bank and Bank Asia.
But non-banking financial institutions (NBFIs) were up while mutual funds lost for the fourth successive session.
SEC directs bourses not to allow cos sans SoEs for direct listing
FE Report
The Securities and Exchange Commission (SEC) has directed the bourses not to allow companies other than state-owned enterprises (SoEs) to be listed under direct listing regulations from now on.
"This is the finance ministry' decision. We just conveyed the message to the bourses today," said a senior official of the SEC Wednesday, asking not to be named.
Earlier, three private companies -- Shinepukur Ceramics, ACI Formulations and Navana CNG--made their debut in Dhaka Stock Exchange and Chittagong Stock Exchange under direct listing regulations.
The SoEs that have been listed so far under the regulations are Titas Gas Transmission and Distribution Company, Dhaka Electricity Supply Company (DESCO), Power Grid Company of Bangladesh (PGCB), Jamuna Oil Company and Meghna Petroleum Company.
On February 23, 2006, the Commission approved direct listing regulations for the bourses to encourage the local and multinational profit-making companies to raise fund from the capital market.Earlier, the chairman of the standing committee on finance said the government has taken decision to scrap the direct listing method.
Issuers can float shares through book-building and initial public offering method, he said.
The Securities and Exchange Commission (SEC) has directed the bourses not to allow companies other than state-owned enterprises (SoEs) to be listed under direct listing regulations from now on.
"This is the finance ministry' decision. We just conveyed the message to the bourses today," said a senior official of the SEC Wednesday, asking not to be named.
Earlier, three private companies -- Shinepukur Ceramics, ACI Formulations and Navana CNG--made their debut in Dhaka Stock Exchange and Chittagong Stock Exchange under direct listing regulations.
The SoEs that have been listed so far under the regulations are Titas Gas Transmission and Distribution Company, Dhaka Electricity Supply Company (DESCO), Power Grid Company of Bangladesh (PGCB), Jamuna Oil Company and Meghna Petroleum Company.
On February 23, 2006, the Commission approved direct listing regulations for the bourses to encourage the local and multinational profit-making companies to raise fund from the capital market.Earlier, the chairman of the standing committee on finance said the government has taken decision to scrap the direct listing method.
Issuers can float shares through book-building and initial public offering method, he said.
Wednesday, December 2, 2009
DSE GENERAL INDEX & TURNOVER
02.12.09 WEDNES DAY
TURNOVER:▲Tk 10,336.67 million
DGEN:▲4403.52323
INDEX CHANGE:▲20.49541
ADVANCE :103
DECLINE :125
UNCHANGED:8
...................................................................................
01.12.09 TUESDAY
TURNOVER:▲Tk 10,155.85 million
DGEN:▲4424.01864
INDEX CHANGE:▲43.07058
ADVANCE :126
DECLINE :105
UNCHANGED:0
TURNOVER:▲Tk 10,336.67 million
DGEN:▲4403.52323
INDEX CHANGE:▲20.49541
ADVANCE :103
DECLINE :125
UNCHANGED:8
...................................................................................
01.12.09 TUESDAY
TURNOVER:▲Tk 10,155.85 million
DGEN:▲4424.01864
INDEX CHANGE:▲43.07058
ADVANCE :126
DECLINE :105
UNCHANGED:0
DSE crosses 4400-point mark
Staff Correspondent-New Age
Stocks at Dhaka and Chittagong stock exchanges gained on Tuesday when the trading at the bourses resumed on the day after a four-day break for Eid.
Dhaka Stock Exchange and Chittagong Stock Exchange remained closed from November 27 to 30 on the occasion of Eid-ul-Azha.
Market operators said the market witnessed record-breaking run recently on the back of strong participation of institutional investors. Financial stocks put a good show in the period, they said.
The DSE general index gained 43.07 points, or 0.98 per cent, to close at its all-time high at 4,424.02 on Tuesday.
The previous high of the index was 4,380.95 on Thursday.
The key index of the bourse crossed 4,000-points mark for the first time on November 16 on which day Grameenphone Ltd made its debut on the bourses.
The CSE selective categories index advanced by 87.05 points, or 1.06 per cent, to finish at 8,327.98 on Tuesday.
Of the total 231 issues traded at the DSE, 126 advanced and 105 declined.
Turnover to the DSE increased to Tk 1,015.59 crore from the Thursday’s Tk 912.63 crore.
AB Bank topped the turnover leaders with a total transaction of Tk 31.49 crore.
....................................................................................
DGEN hits all-time high
FE Report
The Dhaka Stock Exchange (DSE) opened Tuesday with a positive sign after Eid holiday-break with the benchmark index crossing 4400-mark for the first time.
The benchmark DSE General Index (DGEN) closed at an all-time high of 4424.01, adding 43.07 points or 0.98 per cent, lifted by financials and insurers.
With Tuesday's rally, the market soared for the seventh consecutive session, the longest winning streak in two months.
The broader DSE All Shares Price Index (DSI) gained 40.15 points or 1.10 per cent to finish at 3672.56. The DSE-20 blue chip index rose 71.58 points or 2.84 per cent to 2585.11.
The banking issues continued to pick up, gaining enough to offset fall in share prices in Grameenphone, the most weighted shares in the market.
GP lost 1.50 per cent to close at Tk 177.30, reversing its gaining streak for the six consecutive sessions.
The investors continued to snap the banking stocks, the market's bellwether, ahead of year-end account closure and insurance issues on persistent perception that Insurance Bill would be tabled in the next session of the house.
The new bill has proposed sweeping changes in the laws regulating the country's 60 plus insurance companies. The proposed law included a two-three times increase in paid up capital for both life and general insurers.
The banking sector rose 3.84 per cent with ten banks gaining more than five per cent. Among the banks, Dhaka Bank ended highest 14.55 per cent.
The non-banking financial institutions (NBFIs) were also up with the whole sector soaring 3.52 per cent.
The general insurance sector advanced 1.96 per cent while the life insurance companies gained 3.61 per cent.
Gainers took a modest lead over the losers as out of 231 issues traded, 126 advanced and 105 declined.
Turnover continued to increase to Tk 1.01 billion, up 11 per cent over the previous session's Tk 9.13 billion.
The mutual funds continued to fall, losing 0.79 per cent on the day.
....................................................................................
Stocks perk up on banks
Star Business Report
As trading of Dhaka stocks resumed yesterday after a four-day vacation, the market carried forward last week's momentum with the key index continuing a record-breaking rally.
The benchmark index of the premier bourse, DSE General Index, reached an all-time high at 4,424 points, after gaining 43.07 points, or 0.98 percent.
The bank stocks, whose price appreciation was enough to push the market up, advanced by 3.84 percent.
Experts said strong third-quarter earnings reported by the banks spurred investors to bet on the banking sector in the last few weeks.
“Profit and earnings per share of most banks, which have so far announced their third-quarterly financial reports to September 30, were better than in the previous quarters. The positive news has encouraged investors to put money in bank stocks,” said a market analyst.
He also said the banks will start declaring the yearly corporate results, including dividends, early next year and the investors look to more stronger performance by the banks by year-end.
Ten banks yesterday gained more than 5 percent. Dhaka Bank jumped 14.55 percent and Bank Asia 10.8 percent.
The non-bank financial institutions finished up, as the sector gained 3.52 percent with all the companies trading in the green.
The telecommunication sector, which comprises only Grameenphone, however fell by 1.5 percent after gaining for six consecutive sessions.
The broader DSE All Share Price Index increased 40.15 points, or 1.1 percent, to 3,672.56.
Advancers beat losers 126 to 105. A total of 2,81,77,418 shares and mutual fund units worth Tk 1,015.58 crore traded on the prime bourse.
AB Bank topped the turnover leaders with 2,84,370 shares worth Tk 31.48 crore being traded.
Peoples Leasing and Finance was the largest gainer that rose 16.6 percent, while Alpha Tobacco was the biggest loser declining 15.63 percent on the DSE.
Chittagong stocks also marked a rise yesterday. The CSE Selective Categories Index increased 87.04 points, or 1.05 percent to 8,327.98. The CSE All Share Price Index gained 146.72 points, or 1.14 percent to 12,915.23.
A total of 34,24,496 shares and mutual fund units worth Tk 73.15 crore changed hands on the port city bourse. Of the traded securities, 92 advanced, 62 declined and one remained unchanged.
Grameenphone topped the turnover leaders with 2,31,800 shares worth Tk 4.13 crore trading on Chittagong Stock Exchange.
Peoples Leasing and Finance, which advanced 16.56 percent, was the biggest gainer, while BD Com, which declined 17.57 percent, was the biggest loser.
Stocks at Dhaka and Chittagong stock exchanges gained on Tuesday when the trading at the bourses resumed on the day after a four-day break for Eid.
Dhaka Stock Exchange and Chittagong Stock Exchange remained closed from November 27 to 30 on the occasion of Eid-ul-Azha.
Market operators said the market witnessed record-breaking run recently on the back of strong participation of institutional investors. Financial stocks put a good show in the period, they said.
The DSE general index gained 43.07 points, or 0.98 per cent, to close at its all-time high at 4,424.02 on Tuesday.
The previous high of the index was 4,380.95 on Thursday.
The key index of the bourse crossed 4,000-points mark for the first time on November 16 on which day Grameenphone Ltd made its debut on the bourses.
The CSE selective categories index advanced by 87.05 points, or 1.06 per cent, to finish at 8,327.98 on Tuesday.
Of the total 231 issues traded at the DSE, 126 advanced and 105 declined.
Turnover to the DSE increased to Tk 1,015.59 crore from the Thursday’s Tk 912.63 crore.
AB Bank topped the turnover leaders with a total transaction of Tk 31.49 crore.
....................................................................................
DGEN hits all-time high
FE Report
The Dhaka Stock Exchange (DSE) opened Tuesday with a positive sign after Eid holiday-break with the benchmark index crossing 4400-mark for the first time.
The benchmark DSE General Index (DGEN) closed at an all-time high of 4424.01, adding 43.07 points or 0.98 per cent, lifted by financials and insurers.
With Tuesday's rally, the market soared for the seventh consecutive session, the longest winning streak in two months.
The broader DSE All Shares Price Index (DSI) gained 40.15 points or 1.10 per cent to finish at 3672.56. The DSE-20 blue chip index rose 71.58 points or 2.84 per cent to 2585.11.
The banking issues continued to pick up, gaining enough to offset fall in share prices in Grameenphone, the most weighted shares in the market.
GP lost 1.50 per cent to close at Tk 177.30, reversing its gaining streak for the six consecutive sessions.
The investors continued to snap the banking stocks, the market's bellwether, ahead of year-end account closure and insurance issues on persistent perception that Insurance Bill would be tabled in the next session of the house.
The new bill has proposed sweeping changes in the laws regulating the country's 60 plus insurance companies. The proposed law included a two-three times increase in paid up capital for both life and general insurers.
The banking sector rose 3.84 per cent with ten banks gaining more than five per cent. Among the banks, Dhaka Bank ended highest 14.55 per cent.
The non-banking financial institutions (NBFIs) were also up with the whole sector soaring 3.52 per cent.
The general insurance sector advanced 1.96 per cent while the life insurance companies gained 3.61 per cent.
Gainers took a modest lead over the losers as out of 231 issues traded, 126 advanced and 105 declined.
Turnover continued to increase to Tk 1.01 billion, up 11 per cent over the previous session's Tk 9.13 billion.
The mutual funds continued to fall, losing 0.79 per cent on the day.
....................................................................................
Stocks perk up on banks
Star Business Report
As trading of Dhaka stocks resumed yesterday after a four-day vacation, the market carried forward last week's momentum with the key index continuing a record-breaking rally.
The benchmark index of the premier bourse, DSE General Index, reached an all-time high at 4,424 points, after gaining 43.07 points, or 0.98 percent.
The bank stocks, whose price appreciation was enough to push the market up, advanced by 3.84 percent.
Experts said strong third-quarter earnings reported by the banks spurred investors to bet on the banking sector in the last few weeks.
“Profit and earnings per share of most banks, which have so far announced their third-quarterly financial reports to September 30, were better than in the previous quarters. The positive news has encouraged investors to put money in bank stocks,” said a market analyst.
He also said the banks will start declaring the yearly corporate results, including dividends, early next year and the investors look to more stronger performance by the banks by year-end.
Ten banks yesterday gained more than 5 percent. Dhaka Bank jumped 14.55 percent and Bank Asia 10.8 percent.
The non-bank financial institutions finished up, as the sector gained 3.52 percent with all the companies trading in the green.
The telecommunication sector, which comprises only Grameenphone, however fell by 1.5 percent after gaining for six consecutive sessions.
The broader DSE All Share Price Index increased 40.15 points, or 1.1 percent, to 3,672.56.
Advancers beat losers 126 to 105. A total of 2,81,77,418 shares and mutual fund units worth Tk 1,015.58 crore traded on the prime bourse.
AB Bank topped the turnover leaders with 2,84,370 shares worth Tk 31.48 crore being traded.
Peoples Leasing and Finance was the largest gainer that rose 16.6 percent, while Alpha Tobacco was the biggest loser declining 15.63 percent on the DSE.
Chittagong stocks also marked a rise yesterday. The CSE Selective Categories Index increased 87.04 points, or 1.05 percent to 8,327.98. The CSE All Share Price Index gained 146.72 points, or 1.14 percent to 12,915.23.
A total of 34,24,496 shares and mutual fund units worth Tk 73.15 crore changed hands on the port city bourse. Of the traded securities, 92 advanced, 62 declined and one remained unchanged.
Grameenphone topped the turnover leaders with 2,31,800 shares worth Tk 4.13 crore trading on Chittagong Stock Exchange.
Peoples Leasing and Finance, which advanced 16.56 percent, was the biggest gainer, while BD Com, which declined 17.57 percent, was the biggest loser.
Rupali gets BB nod to issue right shares
Asif Showkat
The Bangladesh Bank has given a green signal to Rupali Bank to issue three right shares against each existing share of the bank and for increasing its paid-up capital from Tk 1.25 billion to Tk 5.0 billion, official sources said.
Earlier, the banking division of the finance ministry had sought the central bank’s opinion on issuing of right shares by Rupali Bank, 95 per cent of which is owned by the state.
‘Rupali Bank Limited will issue right shares at 1:3 ratio for their shareholders to build up its capital base,’ said a BB letter sent to the banking division.
The Rupali bank will need Tk 3.75 billion to raise its capital base to Tk 5 billion.
Regarding disbursement of the required funds, the finance ministry’s budget division said permission from the higher authorities would be needed for that because it would create pressure on the available resources.
Due to regular shortfall in capital, the bank’s paid up capital has come down to Tk 785.52 crore.
The budget division has also suggested that Rupali Bank may collect funds by issuing bonds in the markets.
The finance ministry will have to disburse Tk 5,148 crore to meet the pending demands of nine state-owned financial institutions — Sonali Bank, Janata Bank, Shilpa Bank, Cooperative Bank and the Bangladesh Rural Development Board.
These financial institutions have been incurring huge loss for providing agricultural loans at a rate of a paltry five per cent.
Rupali Bank managing director Mohammad Abdul Hamid Miah told New Age that the finance ministry was now securitising the proposal of the bank’s board for issuing the right shares.
‘If the ministry agrees to our proposal, we will immediately inform the matter to the Securities and Exchange Commission’, he added.
Rupali bank in its 796th board meeting made the decision to issue right shares to meet the Basel-II requirement for meeting capital shortfall and increasing its paid–up capital.
The price of Rupali bank share increased by 8.8 per cent at the Dhaka Stock Exchange on Tuesday, each of its share selling at Tk 1,755. The face value of the bank’s share is Tk 100.
The Bangladesh Bank has given a green signal to Rupali Bank to issue three right shares against each existing share of the bank and for increasing its paid-up capital from Tk 1.25 billion to Tk 5.0 billion, official sources said.
Earlier, the banking division of the finance ministry had sought the central bank’s opinion on issuing of right shares by Rupali Bank, 95 per cent of which is owned by the state.
‘Rupali Bank Limited will issue right shares at 1:3 ratio for their shareholders to build up its capital base,’ said a BB letter sent to the banking division.
The Rupali bank will need Tk 3.75 billion to raise its capital base to Tk 5 billion.
Regarding disbursement of the required funds, the finance ministry’s budget division said permission from the higher authorities would be needed for that because it would create pressure on the available resources.
Due to regular shortfall in capital, the bank’s paid up capital has come down to Tk 785.52 crore.
The budget division has also suggested that Rupali Bank may collect funds by issuing bonds in the markets.
The finance ministry will have to disburse Tk 5,148 crore to meet the pending demands of nine state-owned financial institutions — Sonali Bank, Janata Bank, Shilpa Bank, Cooperative Bank and the Bangladesh Rural Development Board.
These financial institutions have been incurring huge loss for providing agricultural loans at a rate of a paltry five per cent.
Rupali Bank managing director Mohammad Abdul Hamid Miah told New Age that the finance ministry was now securitising the proposal of the bank’s board for issuing the right shares.
‘If the ministry agrees to our proposal, we will immediately inform the matter to the Securities and Exchange Commission’, he added.
Rupali bank in its 796th board meeting made the decision to issue right shares to meet the Basel-II requirement for meeting capital shortfall and increasing its paid–up capital.
The price of Rupali bank share increased by 8.8 per cent at the Dhaka Stock Exchange on Tuesday, each of its share selling at Tk 1,755. The face value of the bank’s share is Tk 100.
DSE GENERAL INDEX & TURNOVER
01.12.09 SUN DAY
TURNOVER:▲Tk 10,155.85 million
DGEN:▲4424.01864
INDEX CHANGE:▲43.07058
ADVANCE :126
DECLINE :105
UNCHANGED:0
.....................................................................................
26.11.09 THURS DAY
TURNOVER:▲Tk 9,126.32 million
DGEN:▲4380.94806
INDEX CHANGE:▲55.43353
ADVANCE :142
DECLINE :85
UNCHANGED:2
TURNOVER:▲Tk 10,155.85 million
DGEN:▲4424.01864
INDEX CHANGE:▲43.07058
ADVANCE :126
DECLINE :105
UNCHANGED:0
.....................................................................................
26.11.09 THURS DAY
TURNOVER:▲Tk 9,126.32 million
DGEN:▲4380.94806
INDEX CHANGE:▲55.43353
ADVANCE :142
DECLINE :85
UNCHANGED:2
Tuesday, December 1, 2009
‘SEC-RJSC merger to ensure coordination in proper monitoring of companies’
FE Report
The Securities and Exchange Commission (SEC) says that a merger between the stock market regulatory body and the Registrar of Joint Stock Companies and Firms (RJSC) will help bring coordination in proper monitoring of a huge number of companies, both public and private ones.
"A merger between the SEC and RJSC will give renewed impetus to the strict surveillance of the affairs of the companies," an SEC top official told the FE.
At present there are 236 listed companies and around 60,000 private companies.
In an internal evaluation report, the SEC said establishment of a strong bond market, offloading of shares of government-owned and multinational companies will help develop the country's stock market.
"The establishment of 'Financial Reporting Council' will help bring transparency in the accounting statements of the companies," the SEC said.
Besides, a rule on corporate governance will help bring transparency and accountability in the corporate sector of the country.
The SEC also said it lacks adequate number of human resources and the monitoring and surveillance activities of the stock market regulatory body could be enhanced if more manpower is added.
The SEC said some of the recent actions like canceling the credit facilities to buy mutual funds and Z-category company shares brought a positive result in the stock market.
"We have also raised the settlement and clearing period of Z-category issues to nine trading days instead of seven trading days to discourage the investors in transaction of the Z-category issues," one SEC official said.
He said as a result of the SEC steps, the transactions of Z-category issues reduced to 2.3 per cent in recent days from 7 per cent of the previous time.
According to the SEC report, the recent steps like creation of Over the Counter (OTC) market, imposition of lock-in for the sponsor directors, mandatory announcement of price-earning ratio and net asset value (NAV) during the dividend announcement period by the companies, taking the price sensitive decisions after the trading sessions or any public holiday, quarterly update of the financial statements of companies, direct deposit of refund warrant money with the respective investors' bank accounts were very positive.
Besides, the decision that a broker must raise his/her company's paid-up capital by an additional Tk 5.0 million in case of opening more than three branches strengthened the financial base of the brokerage houses paving the way for protecting the investors interest.
The SEC said the investors' interest in the opening of branches across the country remains a cornerstone in the policy of the regulatory body.
"The market was seriously affected by rumours in previous days when price sensitive decisions like announcing dividends or offering rights or expansion of the businesses were taken during the trading hours in the working days, but we have restricted this and we have decided such price sensitive decisions must be taken in the meetings to be held on holidays or after the trading hours of working days," the SEC said.
The Securities and Exchange Commission (SEC) says that a merger between the stock market regulatory body and the Registrar of Joint Stock Companies and Firms (RJSC) will help bring coordination in proper monitoring of a huge number of companies, both public and private ones.
"A merger between the SEC and RJSC will give renewed impetus to the strict surveillance of the affairs of the companies," an SEC top official told the FE.
At present there are 236 listed companies and around 60,000 private companies.
In an internal evaluation report, the SEC said establishment of a strong bond market, offloading of shares of government-owned and multinational companies will help develop the country's stock market.
"The establishment of 'Financial Reporting Council' will help bring transparency in the accounting statements of the companies," the SEC said.
Besides, a rule on corporate governance will help bring transparency and accountability in the corporate sector of the country.
The SEC also said it lacks adequate number of human resources and the monitoring and surveillance activities of the stock market regulatory body could be enhanced if more manpower is added.
The SEC said some of the recent actions like canceling the credit facilities to buy mutual funds and Z-category company shares brought a positive result in the stock market.
"We have also raised the settlement and clearing period of Z-category issues to nine trading days instead of seven trading days to discourage the investors in transaction of the Z-category issues," one SEC official said.
He said as a result of the SEC steps, the transactions of Z-category issues reduced to 2.3 per cent in recent days from 7 per cent of the previous time.
According to the SEC report, the recent steps like creation of Over the Counter (OTC) market, imposition of lock-in for the sponsor directors, mandatory announcement of price-earning ratio and net asset value (NAV) during the dividend announcement period by the companies, taking the price sensitive decisions after the trading sessions or any public holiday, quarterly update of the financial statements of companies, direct deposit of refund warrant money with the respective investors' bank accounts were very positive.
Besides, the decision that a broker must raise his/her company's paid-up capital by an additional Tk 5.0 million in case of opening more than three branches strengthened the financial base of the brokerage houses paving the way for protecting the investors interest.
The SEC said the investors' interest in the opening of branches across the country remains a cornerstone in the policy of the regulatory body.
"The market was seriously affected by rumours in previous days when price sensitive decisions like announcing dividends or offering rights or expansion of the businesses were taken during the trading hours in the working days, but we have restricted this and we have decided such price sensitive decisions must be taken in the meetings to be held on holidays or after the trading hours of working days," the SEC said.
Friday, November 27, 2009
Stocks gain as bourses go to 4-day closure
Staff Correspondent
Stocks at Dhaka and Chittagong bourses gained on Thursday because of institutional buying on the last trading day before the stock markets’ going to a four-day closure.
The Dhaka Stock Exchange and the Chittagong Stock Exchange go to a closure from today (Friday) to November 30 on the occasion of Eid-ul-Azha. On Thursday, trading hour at the bourses was shortened by one hour, meaning trading started at 11:00am and continued till 2:00pm.
Trading at the bourses will resume on December 1 as per regular trading schedule from 11:00am to 3:00pm.
Market operators said the market witnessed record-breaking run this week on the back of strong participation of institutional investors. Financial stocks put a good show in the period, they said.
The DSE general index gained 55.43 points, or 1.28 per cent, to close at its all-time high at 4,380.95 on Thursday. The previous high of the index was 4,325.51 points on Wednesday.
The key index of the bourse crossed 4,000-points mark for the first time on November 16 on which day Grameenphone Ltd made its debut on the bourses.
On Thursday, share prices of Grameenphone gained 0.39 per cent to close at Tk 180 each.
The CSE selective categories index advanced by 110.40 points, or 1.36 per cent, to finish at 8,240.94.
Of the total 229 issues traded at the DSE, 142 advanced, 85 declined, and two remained unchanged.
Turnover to the DSE increased to Tk 912.63 crore from the Wednesday’s Tk 801.91 crore.
Beximco topped the turnover leaders with a total transaction of Tk 44.70 crore at the DSE.
.....................................................................................
DSE scales new peak
FE Report
Dhaka stocks ended the week on a high Thursday with the benchmark index scaling a new peak for the fifth straight session as financials and insurers continued to buoy investors' sentiment.
Trading of the Dhaka Stock Exchange was suspended for a four-day Eid-ul-Azha holiday after the benchmark DSE General Index (DGEN) closed at a record 4380.94, gaining 55.43 points or 1.28 per cent.
The broader DSE All Shares Price Index (DSI) advanced 44.94 points or 1.25 per cent to finish at 3632.40. The DSE-20 blue chip index rose 43.99 points or 1.78 per cent to 2513.53.
Dealers said an "under-valued" banking sector bolstered investors mood despite holiday fever gripping the traders. Financials rose 4.30 per cent with Pubali Bank gaining the highest 14.36 per cent
Insurers were also in high demand as investors reacted to a key parliamentary body's decision to table the proposed Insurance Bill in the next session of the house.
The new law has proposed sweeping changes in the laws regulating the country's 60 plus insurance companies, including a two-three times increase in paid up capital for both life and general insurers.
General and life insurance sectors edged up 3.93 per cent and 4.11 per cent respectively.
"Strong demand for banking and insurance shares continued to spur the market," said Arif Khan, deputy-managing director of the IDLC Finance Ltd.
"There has been hectic trading of financials for the last few days as most of the banking shares are still under-valued. Insurers advanced due to the government's decision to table the insurance bill," he said.
The telecommunications sector advanced marginally as GP continued to carry the momentum for six consecutive sessions. It ended 0.39 per cent higher to Tk 180.00.
Majority of non-banking financial institutions (NBFIs) nudged higher while energy, pharmaceuticals, all the companies of the Beximco group and mutual funds ended lower on profit taking.
Gainers overwhelmed losers as out of 229 issues traded, 142 rose, 85 declined and two remained unchanged.
Turnover increased to Tk 9.13 billion, up 14 per cent over the previous session, despite the day's trading session was cut short by an hour because of the Eid festival.
Beximco Ltd, the flagship company of the Beximco Group, was the top turnover leader with shares worth Tk 446.95 million changing hands.
Social Investment Bank Ltd (SIBL), Bextex, Pubali Bank, AB Bank, Jamuna Oil, Grameenphone, Square Pharma, Titas Gas and Standard Bank were the other leading turnover leaders.
The major gainers were Phoenix Finance and Investment, Bank Asia, National Life Insurance, Federal Insurance, One Bank and Eastland Insurance.
Alltex, Reckitt Benckiser, Rangpur Foundry, First BSRS, Keya Detergent, Stylecraft, Libra Infusion, Aramit and Keya Cosmetic were the prime losers.
....................................................................................
Stocks continue rally
Star Business Report
Ahead of a four-day vacation on account of Eid and public holidays, record-breaking rally continued in the Dhaka Stock Exchange yesterday with the key index reaching a new high, backed by price appreciation in the banking sector shares.
The market will resume on Tuesday next.
Experts said market was rallying riding on banking shares, on which investors are betting on speculation of good returns.
The year 2009 heading towards an end next month and the banks are scheduled to announce their corporate results including dividends, said an expert.
Besides, he said, the banks whose paid-up capital is still below Tk 400 crore will have to raise the capital to this level by December next year under Basel II.
“The banks will do it by declaring bonus dividends or issuing rights shares that encouraged many investors put money on the sector on expectation of good returns,” he said.
DSE General Index, the benchmark index of the premier bourse, gained 55.43 points, or 1.28 percent to a new height of 4,380.94 points.
BRAC-EPL, an investment firm, in its daily analysis also said the bank rally and the appreciation of Grameenphone has pushed the market forward.
The banking sector advanced heavily as the whole sector went up by 4.30 percent. All the banks gained except Rupali Bank. Pubali Bank was the highest gainer that jumped 14.36 percent.
The telecommunication sector, which comprises only Grameenphone, advanced marginally by 0.39 percent, as the cell phone operator's shares continued to carry the momentum for the last six consecutive sessions.
The broader DSE All Share Price Index increased 44.94 points, or 1.25 percent to 3,632.4.
The non-bank financial institutions finished mixed, while mutual funds, pharmaceuticals and energy and power sector shares were in the red.
Advancers beat losers 142 to 25. Two securities however remained unchanged. A total of 2,93,01,807 shares and mutual fund units worth Tk 912.63 crore were traded on the prime bourse.
Beximco topped the turnover leaders with 15,04,200 shares worth Tk 44.69 crore being traded.
Pubali Bank was the largest gainer that rose 14.36 percent, while Alltex was the largest loser declining 12.12 percent on the DSE.
Chittagong stocks also marked a rise yesterday. The CSE Selective Categories Index increased 110.39 points, or 1.35 percent to 8,240.93. The CSE All Share Price Index gained 169.05 points, or 1.34 percent to 12,768.5.
A total of 40,93,156 shares and mutual fund units worth Tk 82.84 crore changed hands on the port city bourse. Of the traded securities, 94 advanced, 61 declined and five remained unchanged.
Social Islami Bank topped the turnover leaders with 3,21,900 shares worth Tk 9.85 crore being traded on Chittagong Stock Exchange.
Pioneer Insurance, which advanced 14.12 percent, was the biggest gainer, while Alltex, which declined 13.67 percent, was the biggest loser.
Stocks at Dhaka and Chittagong bourses gained on Thursday because of institutional buying on the last trading day before the stock markets’ going to a four-day closure.
The Dhaka Stock Exchange and the Chittagong Stock Exchange go to a closure from today (Friday) to November 30 on the occasion of Eid-ul-Azha. On Thursday, trading hour at the bourses was shortened by one hour, meaning trading started at 11:00am and continued till 2:00pm.
Trading at the bourses will resume on December 1 as per regular trading schedule from 11:00am to 3:00pm.
Market operators said the market witnessed record-breaking run this week on the back of strong participation of institutional investors. Financial stocks put a good show in the period, they said.
The DSE general index gained 55.43 points, or 1.28 per cent, to close at its all-time high at 4,380.95 on Thursday. The previous high of the index was 4,325.51 points on Wednesday.
The key index of the bourse crossed 4,000-points mark for the first time on November 16 on which day Grameenphone Ltd made its debut on the bourses.
On Thursday, share prices of Grameenphone gained 0.39 per cent to close at Tk 180 each.
The CSE selective categories index advanced by 110.40 points, or 1.36 per cent, to finish at 8,240.94.
Of the total 229 issues traded at the DSE, 142 advanced, 85 declined, and two remained unchanged.
Turnover to the DSE increased to Tk 912.63 crore from the Wednesday’s Tk 801.91 crore.
Beximco topped the turnover leaders with a total transaction of Tk 44.70 crore at the DSE.
.....................................................................................
DSE scales new peak
FE Report
Dhaka stocks ended the week on a high Thursday with the benchmark index scaling a new peak for the fifth straight session as financials and insurers continued to buoy investors' sentiment.
Trading of the Dhaka Stock Exchange was suspended for a four-day Eid-ul-Azha holiday after the benchmark DSE General Index (DGEN) closed at a record 4380.94, gaining 55.43 points or 1.28 per cent.
The broader DSE All Shares Price Index (DSI) advanced 44.94 points or 1.25 per cent to finish at 3632.40. The DSE-20 blue chip index rose 43.99 points or 1.78 per cent to 2513.53.
Dealers said an "under-valued" banking sector bolstered investors mood despite holiday fever gripping the traders. Financials rose 4.30 per cent with Pubali Bank gaining the highest 14.36 per cent
Insurers were also in high demand as investors reacted to a key parliamentary body's decision to table the proposed Insurance Bill in the next session of the house.
The new law has proposed sweeping changes in the laws regulating the country's 60 plus insurance companies, including a two-three times increase in paid up capital for both life and general insurers.
General and life insurance sectors edged up 3.93 per cent and 4.11 per cent respectively.
"Strong demand for banking and insurance shares continued to spur the market," said Arif Khan, deputy-managing director of the IDLC Finance Ltd.
"There has been hectic trading of financials for the last few days as most of the banking shares are still under-valued. Insurers advanced due to the government's decision to table the insurance bill," he said.
The telecommunications sector advanced marginally as GP continued to carry the momentum for six consecutive sessions. It ended 0.39 per cent higher to Tk 180.00.
Majority of non-banking financial institutions (NBFIs) nudged higher while energy, pharmaceuticals, all the companies of the Beximco group and mutual funds ended lower on profit taking.
Gainers overwhelmed losers as out of 229 issues traded, 142 rose, 85 declined and two remained unchanged.
Turnover increased to Tk 9.13 billion, up 14 per cent over the previous session, despite the day's trading session was cut short by an hour because of the Eid festival.
Beximco Ltd, the flagship company of the Beximco Group, was the top turnover leader with shares worth Tk 446.95 million changing hands.
Social Investment Bank Ltd (SIBL), Bextex, Pubali Bank, AB Bank, Jamuna Oil, Grameenphone, Square Pharma, Titas Gas and Standard Bank were the other leading turnover leaders.
The major gainers were Phoenix Finance and Investment, Bank Asia, National Life Insurance, Federal Insurance, One Bank and Eastland Insurance.
Alltex, Reckitt Benckiser, Rangpur Foundry, First BSRS, Keya Detergent, Stylecraft, Libra Infusion, Aramit and Keya Cosmetic were the prime losers.
....................................................................................
Stocks continue rally
Star Business Report
Ahead of a four-day vacation on account of Eid and public holidays, record-breaking rally continued in the Dhaka Stock Exchange yesterday with the key index reaching a new high, backed by price appreciation in the banking sector shares.
The market will resume on Tuesday next.
Experts said market was rallying riding on banking shares, on which investors are betting on speculation of good returns.
The year 2009 heading towards an end next month and the banks are scheduled to announce their corporate results including dividends, said an expert.
Besides, he said, the banks whose paid-up capital is still below Tk 400 crore will have to raise the capital to this level by December next year under Basel II.
“The banks will do it by declaring bonus dividends or issuing rights shares that encouraged many investors put money on the sector on expectation of good returns,” he said.
DSE General Index, the benchmark index of the premier bourse, gained 55.43 points, or 1.28 percent to a new height of 4,380.94 points.
BRAC-EPL, an investment firm, in its daily analysis also said the bank rally and the appreciation of Grameenphone has pushed the market forward.
The banking sector advanced heavily as the whole sector went up by 4.30 percent. All the banks gained except Rupali Bank. Pubali Bank was the highest gainer that jumped 14.36 percent.
The telecommunication sector, which comprises only Grameenphone, advanced marginally by 0.39 percent, as the cell phone operator's shares continued to carry the momentum for the last six consecutive sessions.
The broader DSE All Share Price Index increased 44.94 points, or 1.25 percent to 3,632.4.
The non-bank financial institutions finished mixed, while mutual funds, pharmaceuticals and energy and power sector shares were in the red.
Advancers beat losers 142 to 25. Two securities however remained unchanged. A total of 2,93,01,807 shares and mutual fund units worth Tk 912.63 crore were traded on the prime bourse.
Beximco topped the turnover leaders with 15,04,200 shares worth Tk 44.69 crore being traded.
Pubali Bank was the largest gainer that rose 14.36 percent, while Alltex was the largest loser declining 12.12 percent on the DSE.
Chittagong stocks also marked a rise yesterday. The CSE Selective Categories Index increased 110.39 points, or 1.35 percent to 8,240.93. The CSE All Share Price Index gained 169.05 points, or 1.34 percent to 12,768.5.
A total of 40,93,156 shares and mutual fund units worth Tk 82.84 crore changed hands on the port city bourse. Of the traded securities, 94 advanced, 61 declined and five remained unchanged.
Social Islami Bank topped the turnover leaders with 3,21,900 shares worth Tk 9.85 crore being traded on Chittagong Stock Exchange.
Pioneer Insurance, which advanced 14.12 percent, was the biggest gainer, while Alltex, which declined 13.67 percent, was the biggest loser.
Thursday, November 26, 2009
Peoples query????
Mr. Yousuf's query:Dear Mr Rashed,
I am Md yousuf Chowdhury,reside in Chittagong, of late, i invest in
couple of sectors in CSE but very disappointment of price fallen of
those sector.
Today i found your blog "http://rashedchittagong.blogspot.com" and
found some interesting notion about this cycle of market and its been
immense pleasure for me to read out those topic that you share to us.
i would give like to give you my greeting and thanks for that.
The thing is that i would like to point out "where to invest and how
to get idea the price may rise or fallen" Can you help me it because i
am really disappointment of recent debacle. I loosing my hope almost.
Looking forward to your prompt reply.
Regards
Md yousuf Chowdhury
Rashed say:At first Eid Muabark & thanks for ur compliment.I m a share analyst & take decision according to market prediction.I think u can go in Cement Sector ,Leasing sector or Insurance.Beximco group also be a good choice.
I am Md yousuf Chowdhury,reside in Chittagong, of late, i invest in
couple of sectors in CSE but very disappointment of price fallen of
those sector.
Today i found your blog "http://rashedchittagong.blogspot.com" and
found some interesting notion about this cycle of market and its been
immense pleasure for me to read out those topic that you share to us.
i would give like to give you my greeting and thanks for that.
The thing is that i would like to point out "where to invest and how
to get idea the price may rise or fallen" Can you help me it because i
am really disappointment of recent debacle. I loosing my hope almost.
Looking forward to your prompt reply.
Regards
Md yousuf Chowdhury
Rashed say:At first Eid Muabark & thanks for ur compliment.I m a share analyst & take decision according to market prediction.I think u can go in Cement Sector ,Leasing sector or Insurance.Beximco group also be a good choice.
DSE trading ends at 2pm today
FE Report
Trading on Dhaka Stock Exchange (DSE) will be cut by one hour today (Thursday) to facilitate investors in going out of Dhaka to celebrate Eid-ul-Azha.
According to a DSE management decision, today's trading will close at 2pm instead of 3pm.
Trading on Dhaka Stock Exchange (DSE) will be cut by one hour today (Thursday) to facilitate investors in going out of Dhaka to celebrate Eid-ul-Azha.
According to a DSE management decision, today's trading will close at 2pm instead of 3pm.
DGEN crosses 4300-mark first time
FE Report
Dhaka stocks maintained the record-breaking rally for the fourth straight session Wednesday, riding on Grameenphone, financials and insurers.
The DSE General Index (DGEN) added 32.73 points or 0.76 per cent to a new height of 4325.51. It crossed 4300-mark for the first time.
The broader DSE All Shares Price Index (DSI) closed with a gain of 28.29 points or 0.79 per cent at 3587.46. The DSE-20 blue chip index rose 2.17 points or 0.08 per cent to 2469.53.
The market gained heavily in the opening hour, advancing more than 35 points and then trimmed losses early gains on profit taking for the next one hour. In the next one and a half hour, the market again started to rise upward steadily until end of the session, crossing 4300-mark for the first time.
Rise in GP shares and financials-the market heavyweights-have pulled up the market, dealers said.
The telecommunication sector advanced as GP continued to carry the momentum in the last fifth sessions. The GP gained 2.57 per cent to close at Tk 179.30 a share.
Gainers outnumbered the losers as out of 232 issues traded, 163 gained, 67 declined and two remained unchanged. Turnover came down to Tk 8.01 billion, a decrease of nine per cent over the previous session.
The banking sector edged slightly higher but majority of the banking issues declined with Pubali Bank gaining highest of 12.41 per cent and Rupali Bank 6.28 per cent. The non-banking financial institutions (NBFIs) were marginally up while the mutual funds ended mixed.
The pharmaceutical sector was also marginally down and the energy sector declined.
All the companies of the industrial conglomerate Beximco Group except Bextex Limited and multinational companies nudged higher.
Social Investment Bank Ltd (SIBL was the top turnover leader with shares worth Tk 391.83 million changing hands.
Dhaka stocks maintained the record-breaking rally for the fourth straight session Wednesday, riding on Grameenphone, financials and insurers.
The DSE General Index (DGEN) added 32.73 points or 0.76 per cent to a new height of 4325.51. It crossed 4300-mark for the first time.
The broader DSE All Shares Price Index (DSI) closed with a gain of 28.29 points or 0.79 per cent at 3587.46. The DSE-20 blue chip index rose 2.17 points or 0.08 per cent to 2469.53.
The market gained heavily in the opening hour, advancing more than 35 points and then trimmed losses early gains on profit taking for the next one hour. In the next one and a half hour, the market again started to rise upward steadily until end of the session, crossing 4300-mark for the first time.
Rise in GP shares and financials-the market heavyweights-have pulled up the market, dealers said.
The telecommunication sector advanced as GP continued to carry the momentum in the last fifth sessions. The GP gained 2.57 per cent to close at Tk 179.30 a share.
Gainers outnumbered the losers as out of 232 issues traded, 163 gained, 67 declined and two remained unchanged. Turnover came down to Tk 8.01 billion, a decrease of nine per cent over the previous session.
The banking sector edged slightly higher but majority of the banking issues declined with Pubali Bank gaining highest of 12.41 per cent and Rupali Bank 6.28 per cent. The non-banking financial institutions (NBFIs) were marginally up while the mutual funds ended mixed.
The pharmaceutical sector was also marginally down and the energy sector declined.
All the companies of the industrial conglomerate Beximco Group except Bextex Limited and multinational companies nudged higher.
Social Investment Bank Ltd (SIBL was the top turnover leader with shares worth Tk 391.83 million changing hands.
Wednesday, November 25, 2009
Retiring DSE director may seek re-election
FE Report
The Dhaka Stock Exchange (DSE) has brought amendment in its constitutions, paving the way for a retiring director to qualify for re-election.
The DSE, in its Extra-ordinary General Meeting held Tuesday, amended five resolutions in the clause 81 (3), 84 and 85 in its Articles of Association.
The clause says a retiring director shall not be eligible for re-election for two years after retirement. But after the amendment it will be read as 'a retiring director shall be eligible for re-election."
"This amendment creates an opportunity for the existing directors, whose term will expire in February, to take part in the election without waiting for two years," said an official of the DSE.
Term of the present board of director, headed by DSE President Rakibur Rahman, will expire in February next year.
According to the DSE constitution, four elected directors retire every year and four others replace them through direct voting. The new directors are elected for a three-year term.
After amendment there will be no bar for the retiring directors to participate in election.
The Dhaka Stock Exchange (DSE) has brought amendment in its constitutions, paving the way for a retiring director to qualify for re-election.
The DSE, in its Extra-ordinary General Meeting held Tuesday, amended five resolutions in the clause 81 (3), 84 and 85 in its Articles of Association.
The clause says a retiring director shall not be eligible for re-election for two years after retirement. But after the amendment it will be read as 'a retiring director shall be eligible for re-election."
"This amendment creates an opportunity for the existing directors, whose term will expire in February, to take part in the election without waiting for two years," said an official of the DSE.
Term of the present board of director, headed by DSE President Rakibur Rahman, will expire in February next year.
According to the DSE constitution, four elected directors retire every year and four others replace them through direct voting. The new directors are elected for a three-year term.
After amendment there will be no bar for the retiring directors to participate in election.
Mutual Fund case: SEC seeks extension of stay order
The Securities and Exchange Commission (SEC) submitted Tuesday an application to the chamber judge of the Appellate Division of the Supreme Court seeking extension of the stay order over the verdict of the High Court division related to mutual funds, a source said. The Supreme Court earlier stayed the HC verdict until November 25, 2009. But still now the SEC has not got the certified copy of the verdict; and it would depend on the merit of the verdict to appeal against it.
Stocks keep setting new mark
FE Report
Dhaka stocks continued to set a new mark for the third consecutive session in the fluctuating market Tuesday, led by the country's telecom giant Grameenphone issues that rose 3.73 per cent.
The DSE General Index (DGEN) added 18.86 points or 0.44 per cent to 4292.77, which is a new high.
The broader DSE All Shares Price Index (DSI) ended with a gain of 12.51 points or 0.35 per cent at 3559.16. The DSE-20 blue chip index shed 17.41 points or 0.70 per cent to 2467.36.
The market opened with positive mood, gaining 35 points and crossing the 4300-mark for the first time in the early trading.
Then, the market started to decline as the investors went for profit taking on banking issues that saw rally in the last six sessions. After a period of up-and-down, the market ended in the positive territory riding on GP issues.
"Rally in GP shares, the market's heavyweight, prevented the market from falling despite declining in the banking, the market's bellweather, issues," said BRAC-EPL, an investment bank, in its analysis.
Grameenphone continued to rally with a rise of 3.73 per cent to Tk 175.50 per share.
Gainers beat losers as out of 237 issues traded, 140 gained, 93 declined and four remained unchanged. Turnover came down to Tk 8.82 billion, a decrease of 17 per cent over the previous session.
The banking sector went down after gaining for consecutive six sessions as the investors booked profit.
The whole sector went down by 2.54 per cent. The non-banking financial institutions (NBFIs) finished mixed while most of the mutual funds edged higher at the end of the day.
..................................................................................
GP offsets banks' fall
Star Business Report
Dhaka stocks continued to gain yesterday for the fourth consecutive day, as the telecommunication sector advanced offsetting the fall in banking shares.
DSE General Index, the benchmark index of Dhaka Stock Exchange, rose 18.86 points, or 0.44 percent to 4,292.77.
The telecommunication sector gained heavily as Grameenphone (GP) shares advanced 3.74 percent.
The banking sector went down after gaining for six straight sessions. The whole sector went down by 2.54 percent.
Among the biggest losers, Mercantile Bank, Standard Bank and Trust Bank declined by more than 5 percent each, while Pubali Bank and Rupali Bank were the only banks that traded in safe.
Although the market was up from the previous day's close, it lost the gaining streak on profit taking, especially in the banking sector shares, said an analysis of BRAC-EPL, an investment firm.
The broader DSE All Share Price Index increased 12.51 points, or 0.35 percent, to 3,559.16.
The non-bank financial institutions finished mixed with the whole sector marginally up by 0.2 percent.
Most of the mutual funds, pharmaceuticals and energy and power sector shares also finished high.
Advancers beat losers 140 to 93. Four securities however remained unchanged. A total of 2,88,90,798 shares and mutual fund units worth Tk 882.25 crore were traded on the prime bourse.
Beximco topped the turnover leaders with 23,13,000 shares worth Tk 70.22 crore being traded.
Dulamia Cotton was the largest gainer that rose 16.59 percent, while Purabi General Insurance was the largest loser declining 9.2 percent on the DSE.
Chittagong stocks also marked a slight rise yesterday. The CSE Selective Categories Index increased 28.56 points, or 0.35 percent, to 8,081.71. The CSE All Share Price Index gained 35.33 points, or 0.28 percent, to 12,518.53.
A total of 39,30,598 shares and mutual fund units worth Tk 77.23 crore changed hands on the port city bourse. Of the traded securities, 93 advanced, 63 declined and three remained unchanged.
Grameenphone topped the turnover leaders with 4,06,000 shares worth Tk 7.04 crore being traded on Chittagong Stock Exchange.
Dhaka stocks continued to set a new mark for the third consecutive session in the fluctuating market Tuesday, led by the country's telecom giant Grameenphone issues that rose 3.73 per cent.
The DSE General Index (DGEN) added 18.86 points or 0.44 per cent to 4292.77, which is a new high.
The broader DSE All Shares Price Index (DSI) ended with a gain of 12.51 points or 0.35 per cent at 3559.16. The DSE-20 blue chip index shed 17.41 points or 0.70 per cent to 2467.36.
The market opened with positive mood, gaining 35 points and crossing the 4300-mark for the first time in the early trading.
Then, the market started to decline as the investors went for profit taking on banking issues that saw rally in the last six sessions. After a period of up-and-down, the market ended in the positive territory riding on GP issues.
"Rally in GP shares, the market's heavyweight, prevented the market from falling despite declining in the banking, the market's bellweather, issues," said BRAC-EPL, an investment bank, in its analysis.
Grameenphone continued to rally with a rise of 3.73 per cent to Tk 175.50 per share.
Gainers beat losers as out of 237 issues traded, 140 gained, 93 declined and four remained unchanged. Turnover came down to Tk 8.82 billion, a decrease of 17 per cent over the previous session.
The banking sector went down after gaining for consecutive six sessions as the investors booked profit.
The whole sector went down by 2.54 per cent. The non-banking financial institutions (NBFIs) finished mixed while most of the mutual funds edged higher at the end of the day.
..................................................................................
GP offsets banks' fall
Star Business Report
Dhaka stocks continued to gain yesterday for the fourth consecutive day, as the telecommunication sector advanced offsetting the fall in banking shares.
DSE General Index, the benchmark index of Dhaka Stock Exchange, rose 18.86 points, or 0.44 percent to 4,292.77.
The telecommunication sector gained heavily as Grameenphone (GP) shares advanced 3.74 percent.
The banking sector went down after gaining for six straight sessions. The whole sector went down by 2.54 percent.
Among the biggest losers, Mercantile Bank, Standard Bank and Trust Bank declined by more than 5 percent each, while Pubali Bank and Rupali Bank were the only banks that traded in safe.
Although the market was up from the previous day's close, it lost the gaining streak on profit taking, especially in the banking sector shares, said an analysis of BRAC-EPL, an investment firm.
The broader DSE All Share Price Index increased 12.51 points, or 0.35 percent, to 3,559.16.
The non-bank financial institutions finished mixed with the whole sector marginally up by 0.2 percent.
Most of the mutual funds, pharmaceuticals and energy and power sector shares also finished high.
Advancers beat losers 140 to 93. Four securities however remained unchanged. A total of 2,88,90,798 shares and mutual fund units worth Tk 882.25 crore were traded on the prime bourse.
Beximco topped the turnover leaders with 23,13,000 shares worth Tk 70.22 crore being traded.
Dulamia Cotton was the largest gainer that rose 16.59 percent, while Purabi General Insurance was the largest loser declining 9.2 percent on the DSE.
Chittagong stocks also marked a slight rise yesterday. The CSE Selective Categories Index increased 28.56 points, or 0.35 percent, to 8,081.71. The CSE All Share Price Index gained 35.33 points, or 0.28 percent, to 12,518.53.
A total of 39,30,598 shares and mutual fund units worth Tk 77.23 crore changed hands on the port city bourse. Of the traded securities, 93 advanced, 63 declined and three remained unchanged.
Grameenphone topped the turnover leaders with 4,06,000 shares worth Tk 7.04 crore being traded on Chittagong Stock Exchange.
Tuesday, November 24, 2009
DSE declares 4-day holiday
Business Desk-New Age
Dhaka Stock Exchange will remain closed on Monday, November 30, in addition to the official holiday for Eid.
The government has already declared three-day holiday for Eid-ul-Azha from November 27 to 29.
Trading at the DSE will resume on December 1 as per regular trading schedule.
The board has also decided that the trading hour on Thursday, November 26, will be shortened by one hour, meaning trading will start at 11:00am and continue till 2:00pm.
Dhaka Stock Exchange will remain closed on Monday, November 30, in addition to the official holiday for Eid.
The government has already declared three-day holiday for Eid-ul-Azha from November 27 to 29.
Trading at the DSE will resume on December 1 as per regular trading schedule.
The board has also decided that the trading hour on Thursday, November 26, will be shortened by one hour, meaning trading will start at 11:00am and continue till 2:00pm.
SEC may seek more time for execution of HC verdict on MFs
FE Report
The securities regulator is likely to seek more time on execution of the verdict passed by the High Court allowing mutual funds (MFs) to increase the fund size by issuing bonus and rights shares.
The Supreme Court earlier stayed the HC verdict until November 25, '09.
The Securities and Exchange Commission (SEC) is considering seeking of time as it has not yet received the copy of the verdict. Whether they will file an appeal depends on the merits of the verdict.
"We have not yet got the certified copy and the decision to appeal against the verdict is not final," Mansur Alam, a member of the SEC told the FE.
"We are looking forward to the certified copy and we cannot say for sure whether we will appeal against the verdict or not. It will depend on the merit of the certified copy," Md. Anisuzzaman, another member of the SEC, told the FE.
The High Court allowed mutual funds to raise their size by issuing bonus and rights shares without curbing the securities regulator's absolute power on November 8 last.
The securities regulator is likely to seek more time on execution of the verdict passed by the High Court allowing mutual funds (MFs) to increase the fund size by issuing bonus and rights shares.
The Supreme Court earlier stayed the HC verdict until November 25, '09.
The Securities and Exchange Commission (SEC) is considering seeking of time as it has not yet received the copy of the verdict. Whether they will file an appeal depends on the merits of the verdict.
"We have not yet got the certified copy and the decision to appeal against the verdict is not final," Mansur Alam, a member of the SEC told the FE.
"We are looking forward to the certified copy and we cannot say for sure whether we will appeal against the verdict or not. It will depend on the merit of the certified copy," Md. Anisuzzaman, another member of the SEC, told the FE.
The High Court allowed mutual funds to raise their size by issuing bonus and rights shares without curbing the securities regulator's absolute power on November 8 last.
Large corporate eye stock market
Bangladesh Sangbad Sangstha . Dhaka
Some large corporate houses of the country are actively considering raising capital from the stock market for new ventures and expansion.
Capital market sources confirmed that at least two big corporate houses and a bank are now at the final stage of discussions with issue managers to offer shares to general public.
Among the issuers, Citibank NA admitted that the bank had been in a process of bringing some large corporate houses in the capital market.
‘We are in a process of discussions with some large corporate houses, and hopeful the capital market will see them soon,’ Silmat Chisti, Citi’s head of capital market business told BSS today.
The confidence of big businesses on the capital market has been increased by many-folds with the significant success of Grameenphone at both the primary and the secondary markets.
The country’s mobile phone leader tapped over Taka 480 crore from the capital market by issuing initial public offerings, which was also heavily oversubscribed.
The company also got huge response from the investors on its debut last week when its share price shot up by around 1700 per cent.
Silamt said the success of Grameenphone obviously inspired other corporate houses to come to the share market.
She, however, did not name the corporate houses as the companies would make only formal disclosures.
Sources, however, said that one of the corporate houses would be from industrial sector, having diversified business in tobacco and glass ware. The other one would most likely be from power sector.
Silmat said that Citi was also thinking in participating in the development of bond market and convertible for accumulating adequate funds for entrepreneurs.
Some large corporate houses of the country are actively considering raising capital from the stock market for new ventures and expansion.
Capital market sources confirmed that at least two big corporate houses and a bank are now at the final stage of discussions with issue managers to offer shares to general public.
Among the issuers, Citibank NA admitted that the bank had been in a process of bringing some large corporate houses in the capital market.
‘We are in a process of discussions with some large corporate houses, and hopeful the capital market will see them soon,’ Silmat Chisti, Citi’s head of capital market business told BSS today.
The confidence of big businesses on the capital market has been increased by many-folds with the significant success of Grameenphone at both the primary and the secondary markets.
The country’s mobile phone leader tapped over Taka 480 crore from the capital market by issuing initial public offerings, which was also heavily oversubscribed.
The company also got huge response from the investors on its debut last week when its share price shot up by around 1700 per cent.
Silamt said the success of Grameenphone obviously inspired other corporate houses to come to the share market.
She, however, did not name the corporate houses as the companies would make only formal disclosures.
Sources, however, said that one of the corporate houses would be from industrial sector, having diversified business in tobacco and glass ware. The other one would most likely be from power sector.
Silmat said that Citi was also thinking in participating in the development of bond market and convertible for accumulating adequate funds for entrepreneurs.
DSE record-breaking rally continues
FE Report
Dhaka stocks extended their record-breaking rally Monday for the second straight session as the banking issues continued to buoy the investors' sentiment.
The DSE General Index (DGEN) rose 70.92 points or 1.68 per cent to a new high of 4273.91, lifted by banks, energy and pharmaceutical issues.
The new mark beat 4203.08 set on previous day. On Monday, the market opened with positive note and it climbed steadily before close, as investors continued to bet on the banking companies ahead of their year-end account closing.
The broader DSE All Shares Price Index (DSI) ended with a gain of 58.84 points or 1.68 per cent at 3546.64. The DSE-20 blue chip index moved up 82.18 points or 3.42 per cent to 2296.85.
The gainers took a modest gain over the losers as out of 234 issues traded, 122 gained, 108 declined and four remained unchanged.
Shares of the country's telecom giant Grameenphone rallied 1.68 per cent to close at Tk 168.50 per share.
Dealers said the underlying sentiment in the market was strong despite some credit tightening measures by the securities regulator.
"Investors took the index to a new high thanks mainly to the continuous shining of the banking issues that rose four per cent," a stockbroker said adding that they have been heartened by better outlooks from the companies.
Transaction of volume continued to increase as daily turnover stood at Tk 10.59 billion, an increase of 12 per cent over the previous session.
Most of the non-banking financial institutions declined. The mutual fund, three of them gained more than five per cent but the sector was marginally down.
The pharmaceutical companies, cement, all companies of the Beximco Group and energy stocks edged higher
Most of the general Insurance companies and life insurance companies ended lower.
Beximco, the flagship company of the industrial conglomerate Beximco Group, was the top turnover leader with shares worth Tk 661.15 million changing hands as it reported its third quarter net profit stood at Tk 3345.38 million.
AB Bank, Titas Gas, Power Grid, Square Pharma, Social Investment Bank Ltd (SIBL), City Bank, Jamuna Oil, National Bank Ltd (NBL) and Bextex were the other leading turnover leaders.
Dhaka Bank was the largest gainer registering a rise of 9.54 per cent, followed by NBL 8.27 per cent, Marico 7.80 per cent, City Bank 7.68 per cent, Glaxo SmithKline 6.89 per cent and Trust Bank 6.70 per cent.
Samata Leather dropped 7.16 per cent, the day's highest loser.
.....................................................................................
Banks drive stock rally
Star Business Report
Dhaka stocks rallied for a third day, as bank shares advanced heavily in back-to-back sessions yesterday.
The benchmark index of Dhaka Stock Exchange, DSE General Index, shot up 70.82 points, or 1.68 percent to 4,273.91, reaching a new high.
The banking sector gained 3.99 percent as a whole as most banks increased more than 4 percent, of which Dhaka Bank had the highest gain with a 9.54 percent rise.
Starting off on a positive note, the market was always up from the previous day's close. It rose to 4,280 points before closing at 4,273.91 points.
The broader DSE All Share Price Index went up 58.84 points, or 1.68 percent, to 3,546.64.
The telecom sector, which comprises only Grameenphone, also gained in back-to-back session, going up 1.69 percent, as shares of the largest mobile phone operator finished higher at Tk 168.50.
The non-bank financial institutions lost, although ICB and IDLC Finance posted marginal gains.
Among the mutual funds, three gained more than 5 percent, but the sector was marginally down as most others lost.
Pharmaceuticals, fuel and power and cement companies traded up, while insurance companies were in the red.
Advancers beat losers 122 to 107 with four securities remaining unchanged. A total of 3,09,24,301 shares and mutual fund units worth Tk 1,058.94 crore traded on the prime bourse.
Social Islami Bank topped the turnover leaders with 14,35,400 shares worth Tk 40.64 crore being traded.
Dhaka Bank was the largest gainer that rose 9.54 percent, while Samata Leather was the largest loser that declined 7.16 percent on the DSE.
Chittagong stocks marked a sharp rise yesterday, as the bourse adjusted the prices of Grameenphone shares in its key index based on last five trading days' weighted average prices.
The CSE Selective Categories Index went up 348.94 points, or 4.52 percent to 8,053.14. The CSE All Share Price Index gained 223.45 points, or 1.82 percent to 12,483.2.
A total of 38,01,983 shares and mutual fund units worth Tk 78.30 changed hands on the port city bourse. Of the traded securities, 87 advanced, 67 declined and three remained unchanged.
Beximco topped turnover leaders with 2,34,600 shares worth Tk 7.10 crore being traded on the CSE.
Gulf Foods, which advanced 20 percent, was the biggest gainer, while Standard Ceramic, which declined 9.16 percent, was the biggest loser.
Dhaka stocks extended their record-breaking rally Monday for the second straight session as the banking issues continued to buoy the investors' sentiment.
The DSE General Index (DGEN) rose 70.92 points or 1.68 per cent to a new high of 4273.91, lifted by banks, energy and pharmaceutical issues.
The new mark beat 4203.08 set on previous day. On Monday, the market opened with positive note and it climbed steadily before close, as investors continued to bet on the banking companies ahead of their year-end account closing.
The broader DSE All Shares Price Index (DSI) ended with a gain of 58.84 points or 1.68 per cent at 3546.64. The DSE-20 blue chip index moved up 82.18 points or 3.42 per cent to 2296.85.
The gainers took a modest gain over the losers as out of 234 issues traded, 122 gained, 108 declined and four remained unchanged.
Shares of the country's telecom giant Grameenphone rallied 1.68 per cent to close at Tk 168.50 per share.
Dealers said the underlying sentiment in the market was strong despite some credit tightening measures by the securities regulator.
"Investors took the index to a new high thanks mainly to the continuous shining of the banking issues that rose four per cent," a stockbroker said adding that they have been heartened by better outlooks from the companies.
Transaction of volume continued to increase as daily turnover stood at Tk 10.59 billion, an increase of 12 per cent over the previous session.
Most of the non-banking financial institutions declined. The mutual fund, three of them gained more than five per cent but the sector was marginally down.
The pharmaceutical companies, cement, all companies of the Beximco Group and energy stocks edged higher
Most of the general Insurance companies and life insurance companies ended lower.
Beximco, the flagship company of the industrial conglomerate Beximco Group, was the top turnover leader with shares worth Tk 661.15 million changing hands as it reported its third quarter net profit stood at Tk 3345.38 million.
AB Bank, Titas Gas, Power Grid, Square Pharma, Social Investment Bank Ltd (SIBL), City Bank, Jamuna Oil, National Bank Ltd (NBL) and Bextex were the other leading turnover leaders.
Dhaka Bank was the largest gainer registering a rise of 9.54 per cent, followed by NBL 8.27 per cent, Marico 7.80 per cent, City Bank 7.68 per cent, Glaxo SmithKline 6.89 per cent and Trust Bank 6.70 per cent.
Samata Leather dropped 7.16 per cent, the day's highest loser.
.....................................................................................
Banks drive stock rally
Star Business Report
Dhaka stocks rallied for a third day, as bank shares advanced heavily in back-to-back sessions yesterday.
The benchmark index of Dhaka Stock Exchange, DSE General Index, shot up 70.82 points, or 1.68 percent to 4,273.91, reaching a new high.
The banking sector gained 3.99 percent as a whole as most banks increased more than 4 percent, of which Dhaka Bank had the highest gain with a 9.54 percent rise.
Starting off on a positive note, the market was always up from the previous day's close. It rose to 4,280 points before closing at 4,273.91 points.
The broader DSE All Share Price Index went up 58.84 points, or 1.68 percent, to 3,546.64.
The telecom sector, which comprises only Grameenphone, also gained in back-to-back session, going up 1.69 percent, as shares of the largest mobile phone operator finished higher at Tk 168.50.
The non-bank financial institutions lost, although ICB and IDLC Finance posted marginal gains.
Among the mutual funds, three gained more than 5 percent, but the sector was marginally down as most others lost.
Pharmaceuticals, fuel and power and cement companies traded up, while insurance companies were in the red.
Advancers beat losers 122 to 107 with four securities remaining unchanged. A total of 3,09,24,301 shares and mutual fund units worth Tk 1,058.94 crore traded on the prime bourse.
Social Islami Bank topped the turnover leaders with 14,35,400 shares worth Tk 40.64 crore being traded.
Dhaka Bank was the largest gainer that rose 9.54 percent, while Samata Leather was the largest loser that declined 7.16 percent on the DSE.
Chittagong stocks marked a sharp rise yesterday, as the bourse adjusted the prices of Grameenphone shares in its key index based on last five trading days' weighted average prices.
The CSE Selective Categories Index went up 348.94 points, or 4.52 percent to 8,053.14. The CSE All Share Price Index gained 223.45 points, or 1.82 percent to 12,483.2.
A total of 38,01,983 shares and mutual fund units worth Tk 78.30 changed hands on the port city bourse. Of the traded securities, 87 advanced, 67 declined and three remained unchanged.
Beximco topped turnover leaders with 2,34,600 shares worth Tk 7.10 crore being traded on the CSE.
Gulf Foods, which advanced 20 percent, was the biggest gainer, while Standard Ceramic, which declined 9.16 percent, was the biggest loser.
Monday, November 23, 2009
Peoples query????
Mr. Amzad's query:Dear Mr. Rashed,
For NRB applicant, how much $ (pay order) is to be required. Have any opportunity for hand to hand delivery of NRB application, if yes provide me the address.
Please reply me with your contact no.
Thanks.
Mohammad Amzad Hossain Fakir
Manager, Compliance Reporting
SME Admin
Rashed say:Dear Amzad Bhai
I m really sorry for late response.U can apply as much as u can in ur NRB account within one pay-order.Every NRB IPO u can delivery hand to hand in their head office but obviously with a pay-order & IPO application form according to their scheduled date.Current time i corresponding only by e-mail.I noted ur number & try to contact uInshalllah i will open an telephone only to contact with all of u.Till then mail corresponding is good for me. I will reply ASAP getting ur mail.
For NRB applicant, how much $ (pay order) is to be required. Have any opportunity for hand to hand delivery of NRB application, if yes provide me the address.
Please reply me with your contact no.
Thanks.
Mohammad Amzad Hossain Fakir
Manager, Compliance Reporting
SME Admin
Rashed say:Dear Amzad Bhai
I m really sorry for late response.U can apply as much as u can in ur NRB account within one pay-order.Every NRB IPO u can delivery hand to hand in their head office but obviously with a pay-order & IPO application form according to their scheduled date.Current time i corresponding only by e-mail.I noted ur number & try to contact uInshalllah i will open an telephone only to contact with all of u.Till then mail corresponding is good for me. I will reply ASAP getting ur mail.
Stock prices of cement sector companies mark upward rise
FE Report
Stock prices of cement sector companies in the country's stock market in recent days marked an upward rise on the back of government plans to embark on some big civil engineering projects in Bangladesh, including the Padma Bridge.
As a result of upward trend in the cement sector issues, the contribution of the sector on the Dhaka Stock Exchange (DSE)'s total market capitalisation rose to 3.87 per cent Sunday from 3.75 per cent of October 22 last.
Presently there are 30 operational cement companies that can produce around 20 million tonnes of cement a year against a demand for 8.5 million tonnes.
Of them, Heidelberg Cement, Lafarge Surma Cement Confidence Cement, Meghna Cement, Niloy Cement, Aramit Cement, Padma Cement and Modern Cement are listed on the stock exchanges.
The eight listed cement companies now have a total of 115,791,374 shares in the market.
According to the Chiittagong Stock Exchange's latest sector-wise index, the cement sector gained 12.84 points to close at 3198.97 points Sunday against 3186.12 of Thursday last.
Some of the listed cement companies are expanding their production capacity due to consistent consumption and export growth.
"Cement consumption in Bangladesh is expected to witness growth of 13 percent in 2009, rising from 8 percent last year," an industry survey said.
An official of Bangladesh Cement Manufacturing Association, said though cement consumption is growing, local manufacturers have to keep a large portion of their factories idle, as "local factories will be able to produce in full swing when those public construction works begin".
During construction of Bangabandhu Bridge, the government offered duty free facilities to the constructing firm to import machinery and raw materials for cement.
Bangladesh exports around 12,000-14,000 tonnes of cement a month, mainly to India.
"Local cement makers see bright prospects for the days to come as the construction industry is set to see huge demand of the item," a market observer said.
Stock prices of cement sector companies in the country's stock market in recent days marked an upward rise on the back of government plans to embark on some big civil engineering projects in Bangladesh, including the Padma Bridge.
As a result of upward trend in the cement sector issues, the contribution of the sector on the Dhaka Stock Exchange (DSE)'s total market capitalisation rose to 3.87 per cent Sunday from 3.75 per cent of October 22 last.
Presently there are 30 operational cement companies that can produce around 20 million tonnes of cement a year against a demand for 8.5 million tonnes.
Of them, Heidelberg Cement, Lafarge Surma Cement Confidence Cement, Meghna Cement, Niloy Cement, Aramit Cement, Padma Cement and Modern Cement are listed on the stock exchanges.
The eight listed cement companies now have a total of 115,791,374 shares in the market.
According to the Chiittagong Stock Exchange's latest sector-wise index, the cement sector gained 12.84 points to close at 3198.97 points Sunday against 3186.12 of Thursday last.
Some of the listed cement companies are expanding their production capacity due to consistent consumption and export growth.
"Cement consumption in Bangladesh is expected to witness growth of 13 percent in 2009, rising from 8 percent last year," an industry survey said.
An official of Bangladesh Cement Manufacturing Association, said though cement consumption is growing, local manufacturers have to keep a large portion of their factories idle, as "local factories will be able to produce in full swing when those public construction works begin".
During construction of Bangabandhu Bridge, the government offered duty free facilities to the constructing firm to import machinery and raw materials for cement.
Bangladesh exports around 12,000-14,000 tonnes of cement a month, mainly to India.
"Local cement makers see bright prospects for the days to come as the construction industry is set to see huge demand of the item," a market observer said.
Shrimp exports face key test in Jan
Monira Munni
Bangladeshi frozen food export faces a key test in January when a top EU team will visit fish farms and processing plants here to find out whether the country produces match the quality required by European consumers.
Exporters and officials have termed the visit by the European Union Food and Veterinary Office in January 18-29 an 'acid test' for the shrimp industry, saying it would determine the course of the second largest export earners.
"The future of the country's export to European Union nations largely depends on the EU FVO Mission's report card on aquaculture residue monitoring activities," said Rafiqul Islam, director general of department of fisheries.
The delegation will scrutinise present situation in residues control in live animals and animal products and the control on veterinary medicinal products --- measures seen as key requirements for export of shrimps to EU.
The team will also inspect implementation of public health and residues control in aquaculture products from root level to production level so that harmful health hazards or drugs could not pass into the shrimps meant for export, he added.
The EU is the largest importer of Bangladeshi shrimps, accounting for nearly 50 per cent of the shipments made last year. The country exported $454 million worth of shrimps in the 2008-09 fiscal year.
Shrimp farming is a key employer in the country's poorest southwestern coastal region. According to the industry, the country's 130 shrimp processing plants and tens of thousands of farms employ over one million people.
Bangladeshi frozen food export faces a key test in January when a top EU team will visit fish farms and processing plants here to find out whether the country produces match the quality required by European consumers.
Exporters and officials have termed the visit by the European Union Food and Veterinary Office in January 18-29 an 'acid test' for the shrimp industry, saying it would determine the course of the second largest export earners.
"The future of the country's export to European Union nations largely depends on the EU FVO Mission's report card on aquaculture residue monitoring activities," said Rafiqul Islam, director general of department of fisheries.
The delegation will scrutinise present situation in residues control in live animals and animal products and the control on veterinary medicinal products --- measures seen as key requirements for export of shrimps to EU.
The team will also inspect implementation of public health and residues control in aquaculture products from root level to production level so that harmful health hazards or drugs could not pass into the shrimps meant for export, he added.
The EU is the largest importer of Bangladeshi shrimps, accounting for nearly 50 per cent of the shipments made last year. The country exported $454 million worth of shrimps in the 2008-09 fiscal year.
Shrimp farming is a key employer in the country's poorest southwestern coastal region. According to the industry, the country's 130 shrimp processing plants and tens of thousands of farms employ over one million people.
DSE general index hits new high
Staff Correspondent - New Age
Dhaka stocks opened the week upbeat with the DSE general index set new high on Sunday, on the back of a rise in share prices of financial sector securities.
The general index of Dhaka Stock Exchange gained 58.34 points, or 1.41 per cent, to close at 4,203.08, while its blue chips index, DSE20, advanced by 38.04 points, or 1.61 per cent, to finish at 2,402.60.
Market operators said financial institution securities pulled up the market for the second consecutive trading day.
The previous high of the DSE general index was 4,149.82 points on November 17. The key index of the bourse crossed 4,000-points mark for the first time on November 16 on which day Grameenphone Ltd made its debut on the bourses.
On Sunday, share prices of Grameenphone gained 1.03 per cent to close at Tk 165.70 each.
Of the total 236 issues traded, 178 advanced, 53 declined, and five remained unchanged.
Turnover at the DSE increased to Tk 943.76 crore from the Thursday’s Tk 861.97 crore. Social Islami Bank topped the turnover leaders with a total transaction of Tk 40.64 crore.
Power Grid Company Bangladesh, AB Bank, Titas Gas, Beximco, NCC Bank, Jamuna Oil, Islamic Finance and Investment, BRAC Bank, and LankaBangla Finance were the rest of the top 10 turnover leaders on the day.
.....................................................................................
Dhaka stocks hit new mark on financials, gen insurers
FE Report
Dhaka stocks soared to a new height Sunday as the investors snapped up financials in droves ahead of the Eid-ul-Azha festival in anticipation of year-end good returns, dealers said.
The benchmark DSE General Index (DGEN) added 58.33 points or 1.40 per cent to close at 4203.08, its highest ever mark since
Tuesday when it ended at 4149.82.
Other indices also made new marks with the broader All Shares Price Index (DSI) gaining 51.44 points or 1.49 per cent to 3487.80 while DSE-20 Index (DS20) comprising blue chips finishing at 2402.59, up 38.04 points or 1.60 per cent.
Analysts said investors banked on financials and general insurers amid growing optimism about the health of the country's banking system and the insurance industry.
The banking sector alone gained 3.48 per cent as a number of banks rose more than five per cent each including City Bank which spiked 13.88 per cent and Pubali Bank which grew 10.37 per cent. The two were the day's leading gainers.
"Rally by banking issues led the market to a record high," said Abdul Awal, managing director of the Multi Securities and Investment Ltd.
Financials continued to shine as investors renewed faith in the banking companies ahead of their year-end account closing, he said.
Another analyst said most of the banking issues - the bellwether of the DSE --- have been trading below expectations for long, which made them attractive to investors in recent days.
Grameenphone, which now accounts for more than 12 per cent of the market, rose 1.03 per cent to close at Tk 165.70. Its transaction, however, dropped sharply to 12th position.
Investors traded in high spirits before the next week's four-day Eid-ul-Azha holiday, boosting total turnover to Tk 9.44 billion, up 9.51 per cent over the previous session.
The market was skewed towards gainers as out of 236 issues traded, 178 gained, 63 ended into negative and five remained unchanged.
Social Investment Bank Ltd (SIBL) was the top turnover leader for the second straight session with shares worth Tk 406.44 million changing hands.
Dhaka stocks opened the week upbeat with the DSE general index set new high on Sunday, on the back of a rise in share prices of financial sector securities.
The general index of Dhaka Stock Exchange gained 58.34 points, or 1.41 per cent, to close at 4,203.08, while its blue chips index, DSE20, advanced by 38.04 points, or 1.61 per cent, to finish at 2,402.60.
Market operators said financial institution securities pulled up the market for the second consecutive trading day.
The previous high of the DSE general index was 4,149.82 points on November 17. The key index of the bourse crossed 4,000-points mark for the first time on November 16 on which day Grameenphone Ltd made its debut on the bourses.
On Sunday, share prices of Grameenphone gained 1.03 per cent to close at Tk 165.70 each.
Of the total 236 issues traded, 178 advanced, 53 declined, and five remained unchanged.
Turnover at the DSE increased to Tk 943.76 crore from the Thursday’s Tk 861.97 crore. Social Islami Bank topped the turnover leaders with a total transaction of Tk 40.64 crore.
Power Grid Company Bangladesh, AB Bank, Titas Gas, Beximco, NCC Bank, Jamuna Oil, Islamic Finance and Investment, BRAC Bank, and LankaBangla Finance were the rest of the top 10 turnover leaders on the day.
.....................................................................................
Dhaka stocks hit new mark on financials, gen insurers
FE Report
Dhaka stocks soared to a new height Sunday as the investors snapped up financials in droves ahead of the Eid-ul-Azha festival in anticipation of year-end good returns, dealers said.
The benchmark DSE General Index (DGEN) added 58.33 points or 1.40 per cent to close at 4203.08, its highest ever mark since
Tuesday when it ended at 4149.82.
Other indices also made new marks with the broader All Shares Price Index (DSI) gaining 51.44 points or 1.49 per cent to 3487.80 while DSE-20 Index (DS20) comprising blue chips finishing at 2402.59, up 38.04 points or 1.60 per cent.
Analysts said investors banked on financials and general insurers amid growing optimism about the health of the country's banking system and the insurance industry.
The banking sector alone gained 3.48 per cent as a number of banks rose more than five per cent each including City Bank which spiked 13.88 per cent and Pubali Bank which grew 10.37 per cent. The two were the day's leading gainers.
"Rally by banking issues led the market to a record high," said Abdul Awal, managing director of the Multi Securities and Investment Ltd.
Financials continued to shine as investors renewed faith in the banking companies ahead of their year-end account closing, he said.
Another analyst said most of the banking issues - the bellwether of the DSE --- have been trading below expectations for long, which made them attractive to investors in recent days.
Grameenphone, which now accounts for more than 12 per cent of the market, rose 1.03 per cent to close at Tk 165.70. Its transaction, however, dropped sharply to 12th position.
Investors traded in high spirits before the next week's four-day Eid-ul-Azha holiday, boosting total turnover to Tk 9.44 billion, up 9.51 per cent over the previous session.
The market was skewed towards gainers as out of 236 issues traded, 178 gained, 63 ended into negative and five remained unchanged.
Social Investment Bank Ltd (SIBL) was the top turnover leader for the second straight session with shares worth Tk 406.44 million changing hands.
Saturday, November 21, 2009
Peoples query???
M.Kabir's query:Dear Mr. Rashed,
Hope you are fine. Would you kindly send to me the IPO application form for Dhaka Ins and Prime and Trust Bank MF as soon as they are available. I have checked the web site of Dhaka Ins but the application form in not there. Usually what is the best place to look for the application form? DSE web site should have all the application forms posted there. Thanks for maintaining the nice web site. That is all for now. With regards.
Dr. Mahbub Kabir
Department of Chemistry
Jahangirnagar University, Savar, Dhaka 1342
BANGLADESH
Rashed say:Dear Mr. Mahbub
Thanks ,I m fine hopefully u also.Actually IPO form's in MS word format are not available in any website.DSE,CSE,SEC & companies are give in their prospectus in adobe format.I collect the prospectus & prepared it in MS word format.Which is more easy & hassle free to fill up.After i make it then send it to iporesult2@yahoo.com,iporesult3@yahoo.com,iporesult4@yahoo.com,iporesult5@yahoo.com,
iporesult6@yahoo.com,iporesult7@yahoo.com,& pass word of all the email address are 111111.So u can go through by this yahoo ID & easily can download the form in my yahoo daddress.I will send u the form's in MS word format which are float in December.Pls give me some time.Keep touch with www.rashedchittagong.blogspot.com
Hope you are fine. Would you kindly send to me the IPO application form for Dhaka Ins and Prime and Trust Bank MF as soon as they are available. I have checked the web site of Dhaka Ins but the application form in not there. Usually what is the best place to look for the application form? DSE web site should have all the application forms posted there. Thanks for maintaining the nice web site. That is all for now. With regards.
Dr. Mahbub Kabir
Department of Chemistry
Jahangirnagar University, Savar, Dhaka 1342
BANGLADESH
Rashed say:Dear Mr. Mahbub
Thanks ,I m fine hopefully u also.Actually IPO form's in MS word format are not available in any website.DSE,CSE,SEC & companies are give in their prospectus in adobe format.I collect the prospectus & prepared it in MS word format.Which is more easy & hassle free to fill up.After i make it then send it to iporesult2@yahoo.com,iporesult3@yahoo.com,iporesult4@yahoo.com,iporesult5@yahoo.com,
iporesult6@yahoo.com,iporesult7@yahoo.com,& pass word of all the email address are 111111.So u can go through by this yahoo ID & easily can download the form in my yahoo daddress.I will send u the form's in MS word format which are float in December.Pls give me some time.Keep touch with www.rashedchittagong.blogspot.com
SEC wants separate HC bench for pending capital market cases
FE Report
The Securities and Exchange Commission (SEC) said it wants a separate High Court (HC) bench for disposal of the pending capital market related cases.
"It will be better for both the capital market and the investors if a separate bench is established for disposal of the pending cases," M Anisuzzaman, a member of the SEC, told the FE.
Currently, 230 cases are lying pending with the Supreme Court and different other courts in the capital.
At a recent meeting attended by the Bangladesh Bank governor and representatives of the SEC, the law ministry was advised to establish such a separate bench to lessen the sufferings of investors and add an impetus to the capital market.
"The law minister earlier suggested the SEC to act on quick disposal of the pending cases. He also personally talked to the respondents and petitioners of a few cases," Advocate Aksir Ahmed, APS to the law minister, told the FE Wednesday.
"The Chief Justice has the authority to establish a separate bench for the stock market-related matters. I think if such a bench can be established, it will reduce the pressure on judges," Md Shawkat Hossain, registrar of the Supreme Court, told the FE.
Due to the long process of disposal of some writ petitions, investors have been deprived of dividends year after year. Delta Life Insurance Company Limited is one of them.
"For disposal of some cases the investors concerned are raising funds to meet the fees of their lawyers, which is difficult for them to bear for long," one investor told the FE.
The SEC has a fund to pay for employing their lawyers time to time. But the SEC could not say how much of the money was spent.
According to an official of the SEC, the number of cases under trial during the fiscal 2002-03 stood at 69. The figure rose to 100 in 2003-04, to 106 in 2004-05, 138 in 2005-06, 156 in 2006-07 and 186 in 2007-08.
In March last year, the number of pending cases hit 230, for which the SEC was either a respondent or a petitioner. Of those, 96 cases were lying with the High Court Division and six with the Appellate Division.
The Securities and Exchange Commission (SEC) said it wants a separate High Court (HC) bench for disposal of the pending capital market related cases.
"It will be better for both the capital market and the investors if a separate bench is established for disposal of the pending cases," M Anisuzzaman, a member of the SEC, told the FE.
Currently, 230 cases are lying pending with the Supreme Court and different other courts in the capital.
At a recent meeting attended by the Bangladesh Bank governor and representatives of the SEC, the law ministry was advised to establish such a separate bench to lessen the sufferings of investors and add an impetus to the capital market.
"The law minister earlier suggested the SEC to act on quick disposal of the pending cases. He also personally talked to the respondents and petitioners of a few cases," Advocate Aksir Ahmed, APS to the law minister, told the FE Wednesday.
"The Chief Justice has the authority to establish a separate bench for the stock market-related matters. I think if such a bench can be established, it will reduce the pressure on judges," Md Shawkat Hossain, registrar of the Supreme Court, told the FE.
Due to the long process of disposal of some writ petitions, investors have been deprived of dividends year after year. Delta Life Insurance Company Limited is one of them.
"For disposal of some cases the investors concerned are raising funds to meet the fees of their lawyers, which is difficult for them to bear for long," one investor told the FE.
The SEC has a fund to pay for employing their lawyers time to time. But the SEC could not say how much of the money was spent.
According to an official of the SEC, the number of cases under trial during the fiscal 2002-03 stood at 69. The figure rose to 100 in 2003-04, to 106 in 2004-05, 138 in 2005-06, 156 in 2006-07 and 186 in 2007-08.
In March last year, the number of pending cases hit 230, for which the SEC was either a respondent or a petitioner. Of those, 96 cases were lying with the High Court Division and six with the Appellate Division.
Dhaka stocks finish week up
Staff Correspondent
Dhaka stocks rebounded on Thursday to finish the week upbeat after the DSE general index had suffered a big single-day slide in the previous day.
The general index of Dhaka Stock Exchange gained 66.97 points, or 1.64 per cent, to close at 4,144.75, while its blue chips index, DSE20, advanced by 28.28 points, or 1.21 per cent, to finish at 2,364.56.
Market operators said rise in the share prices of financial stocks and Grameenphone Ltd pulled up the market.
Share prices of Grameenphone gained 3.66 per cent to close at Tk 164 each on Thursday. The share prices of the company dropped on Tuesday and Wednesday after a 1,673-per cent rise on the company’s debut on the bourse Monday.
Of the total 227 issues traded, 164 advanced, 61 declined, and two remained unchanged. Turnover at the DSE increased to Tk 861.97 crore from the Wednesday’s Tk 816.15 crore.
Social Islami Bank topped the turnover leaders with a total transaction of Tk 38.98 crore.
AB Bank, Titas Gas, Grameenphone, Beximco, Premier Bank, Summit Power, Jamuna Oil, Eastern Housing, and Al-Arafah Islami Bank were the rest of the top 10 turnover leaders.
.....................................................................................
Dhaka shares rebound sharply on SC verdict
FE Report
Dhaka stocks rebounded sharply on Thursday after the Supreme Court's verdict that upheld death sentences to convicted Sheikh Mujib killers lifted up investors' mood.
The investors snapped up Grameenphone and banking shares in a hectic afternoon trading when news came that the country's highest court rejected the appeals of the ex-army officers, paving the way for their execution within months.
The DSE general index (DGEN) shot up 66.96 points or 1.64 per cent to end at 4144.74 as most of the banks gained and the country's largest mobile phone operator rose nearly six per cent.
"With this verdict, the investors have heaved a sigh of relief. The judgment has removed a long-standing irritation in our national polity, resulting in a bullish mood among investors," stock expert Yawar Sayeed said.
The GP shares, which made debut on Monday, dragged the market down in the first hours but it sharply recovered in the afternoon as investors betted on the company's strong fundamentals.
Grameenphone, also the country's largest mobile phone operator, closed the day at Tk 164.00, or 5.5 per cent higher than the previous day, after opening at Tk 158, which is 2.3 times more than its reference price.
"Rally in stock prices of financials and GP has sent the market into positive territory, especially after the verdict" said Ahmed Rashid, a leading stock broker and a former senior vice president of the DSE.
"However, GP's volume of trade was lower than the previous trading sessions. This is because most of the investors who won shares in the IPO lottery are yet to go for sale on hopes that the price will rise further," said Rashid.
The broader All Shares Price Index (DSI) gained 52.97 points or 1.56 per cent to 3436.36 while DSE-20 Index (DS20) comprising blue chips finished at 2364.55 with a rise of 28.28 points or 1.21 per cent.
Majority of stock prices increased as out of 227 issues traded, 164 went into the positive territory, 61 ended into the negative and two remained unchanged.
The day's volume of transaction remained almost unchanged as it stood at Tk 8.62 billion, an increase of 5.50 per cent over the previous session's Tk 8.17 billion.
Social Investment Bank Ltd (SIBL) topped the turnover list, dislodging GP that ruled trading for three consecutive days after its debut.
Shares of SIBL worth Tk 389.84 million changed hands, followed by AB Bank Tk 359.25 million, Titas Gas Tk 276.57 million, GP Tk 256.33 million, Beximco Tk 244.07 million and Premier Bank Tk 221.82 million.
The banking issues continued to climb up following an array of good third quarter results. The sector, considered the bellwether of the market, advanced 2.04 per cent.
Most of the non-banking financial institutions (NBFIs), mutual funds, pharmaceuticals and energy issues nudged higher.
Cement sector was the big losers on profit taking by investors.
All general insurance companies, except one, edged higher while life insurance companies ended the session mixed. All Beximco subsidiaries except Shinepukur advanced.
Saiham Textile was the largest gainer, posting a rise of 17.17 per cent as the company's share trading resumed after a single day suspension due to book-closure.
Other leading gainers were Prime Textile, Savar Refractories, First Lease International, All Textile, Islamic Finance and Midas Finance.
Zeal Bangla, Gemini Sea Food, CMC Kamal, Metro Spinning, Mithun Knitting, Samorita Hospital, Tallu Spinning and Jamuna Oil were the major losers.
...................................................................................
Stocks bounce back on Bangabandhu verdict
Star Business Report
Stocks bounced back yesterday as the market reacted positively to the verdict on the Bangabandhu killing case that was announced during the early trading hours.
The Appellate Division upheld the High Court verdict that confirmed the death sentences of 12 retired and dismissed army men in the case.
“The announcement of the verdict came as a relief,” said Yawer Sayeed, managing director of AIMS of Bangladesh, an asset management company.
Although emotional elements theoretically are not correlated with capital market or any investment decisions, the conclusion of the case was a factor behind the rallying market yesterday, Sayeed said.
The benchmark index of Dhaka Stock Exchange, DSE General Index, shot up 66.96 points, or 1.64 percent, to 4,144.74.
Two major sectors -- banks and telecommunication -- led the rally. The banking stocks continued to gain with the whole sector advancing 2.04 percent. Among the highest gainers, The City Bank rose 6.51 percent, One Bank 5.08 percent, Social Islami Bank 6.85 percent and Southeast Bank 5.98 percent.
Grameenphone shares as the lone telecommunication sector security gained 5.5 percent.
The verdict was a major event in Bangladesh's history, DSE President Rakibur Rahman said.
“The market performed well with the investors behaving rationally,” he said.
The broader DSE All Share Price Index went up 52.97 points, or 1.56 percent, to 3,436.36.
Advancers beat losers 164 to 61 with two securities remaining unchanged.
Chittagong stocks also marked a rise yesterday. The CSE Selective Categories Index jumped 86.79 points, or 1.15 percent, to 7,574.67. The CSE All Share Price Index also gained 134.7 points, or 1.13 percent, to 12,049.36.
Dhaka stocks rebounded on Thursday to finish the week upbeat after the DSE general index had suffered a big single-day slide in the previous day.
The general index of Dhaka Stock Exchange gained 66.97 points, or 1.64 per cent, to close at 4,144.75, while its blue chips index, DSE20, advanced by 28.28 points, or 1.21 per cent, to finish at 2,364.56.
Market operators said rise in the share prices of financial stocks and Grameenphone Ltd pulled up the market.
Share prices of Grameenphone gained 3.66 per cent to close at Tk 164 each on Thursday. The share prices of the company dropped on Tuesday and Wednesday after a 1,673-per cent rise on the company’s debut on the bourse Monday.
Of the total 227 issues traded, 164 advanced, 61 declined, and two remained unchanged. Turnover at the DSE increased to Tk 861.97 crore from the Wednesday’s Tk 816.15 crore.
Social Islami Bank topped the turnover leaders with a total transaction of Tk 38.98 crore.
AB Bank, Titas Gas, Grameenphone, Beximco, Premier Bank, Summit Power, Jamuna Oil, Eastern Housing, and Al-Arafah Islami Bank were the rest of the top 10 turnover leaders.
.....................................................................................
Dhaka shares rebound sharply on SC verdict
FE Report
Dhaka stocks rebounded sharply on Thursday after the Supreme Court's verdict that upheld death sentences to convicted Sheikh Mujib killers lifted up investors' mood.
The investors snapped up Grameenphone and banking shares in a hectic afternoon trading when news came that the country's highest court rejected the appeals of the ex-army officers, paving the way for their execution within months.
The DSE general index (DGEN) shot up 66.96 points or 1.64 per cent to end at 4144.74 as most of the banks gained and the country's largest mobile phone operator rose nearly six per cent.
"With this verdict, the investors have heaved a sigh of relief. The judgment has removed a long-standing irritation in our national polity, resulting in a bullish mood among investors," stock expert Yawar Sayeed said.
The GP shares, which made debut on Monday, dragged the market down in the first hours but it sharply recovered in the afternoon as investors betted on the company's strong fundamentals.
Grameenphone, also the country's largest mobile phone operator, closed the day at Tk 164.00, or 5.5 per cent higher than the previous day, after opening at Tk 158, which is 2.3 times more than its reference price.
"Rally in stock prices of financials and GP has sent the market into positive territory, especially after the verdict" said Ahmed Rashid, a leading stock broker and a former senior vice president of the DSE.
"However, GP's volume of trade was lower than the previous trading sessions. This is because most of the investors who won shares in the IPO lottery are yet to go for sale on hopes that the price will rise further," said Rashid.
The broader All Shares Price Index (DSI) gained 52.97 points or 1.56 per cent to 3436.36 while DSE-20 Index (DS20) comprising blue chips finished at 2364.55 with a rise of 28.28 points or 1.21 per cent.
Majority of stock prices increased as out of 227 issues traded, 164 went into the positive territory, 61 ended into the negative and two remained unchanged.
The day's volume of transaction remained almost unchanged as it stood at Tk 8.62 billion, an increase of 5.50 per cent over the previous session's Tk 8.17 billion.
Social Investment Bank Ltd (SIBL) topped the turnover list, dislodging GP that ruled trading for three consecutive days after its debut.
Shares of SIBL worth Tk 389.84 million changed hands, followed by AB Bank Tk 359.25 million, Titas Gas Tk 276.57 million, GP Tk 256.33 million, Beximco Tk 244.07 million and Premier Bank Tk 221.82 million.
The banking issues continued to climb up following an array of good third quarter results. The sector, considered the bellwether of the market, advanced 2.04 per cent.
Most of the non-banking financial institutions (NBFIs), mutual funds, pharmaceuticals and energy issues nudged higher.
Cement sector was the big losers on profit taking by investors.
All general insurance companies, except one, edged higher while life insurance companies ended the session mixed. All Beximco subsidiaries except Shinepukur advanced.
Saiham Textile was the largest gainer, posting a rise of 17.17 per cent as the company's share trading resumed after a single day suspension due to book-closure.
Other leading gainers were Prime Textile, Savar Refractories, First Lease International, All Textile, Islamic Finance and Midas Finance.
Zeal Bangla, Gemini Sea Food, CMC Kamal, Metro Spinning, Mithun Knitting, Samorita Hospital, Tallu Spinning and Jamuna Oil were the major losers.
...................................................................................
Stocks bounce back on Bangabandhu verdict
Star Business Report
Stocks bounced back yesterday as the market reacted positively to the verdict on the Bangabandhu killing case that was announced during the early trading hours.
The Appellate Division upheld the High Court verdict that confirmed the death sentences of 12 retired and dismissed army men in the case.
“The announcement of the verdict came as a relief,” said Yawer Sayeed, managing director of AIMS of Bangladesh, an asset management company.
Although emotional elements theoretically are not correlated with capital market or any investment decisions, the conclusion of the case was a factor behind the rallying market yesterday, Sayeed said.
The benchmark index of Dhaka Stock Exchange, DSE General Index, shot up 66.96 points, or 1.64 percent, to 4,144.74.
Two major sectors -- banks and telecommunication -- led the rally. The banking stocks continued to gain with the whole sector advancing 2.04 percent. Among the highest gainers, The City Bank rose 6.51 percent, One Bank 5.08 percent, Social Islami Bank 6.85 percent and Southeast Bank 5.98 percent.
Grameenphone shares as the lone telecommunication sector security gained 5.5 percent.
The verdict was a major event in Bangladesh's history, DSE President Rakibur Rahman said.
“The market performed well with the investors behaving rationally,” he said.
The broader DSE All Share Price Index went up 52.97 points, or 1.56 percent, to 3,436.36.
Advancers beat losers 164 to 61 with two securities remaining unchanged.
Chittagong stocks also marked a rise yesterday. The CSE Selective Categories Index jumped 86.79 points, or 1.15 percent, to 7,574.67. The CSE All Share Price Index also gained 134.7 points, or 1.13 percent, to 12,049.36.
Thursday, November 19, 2009
Stocks distressed by GP fall - Investors jittery over Bangabandhu verdict
Star Business Report
Dhaka stocks suffered a steep decline yesterday, as most sectors went down, led by a fall in the prices of Grameenphone.
Insiders said the market was passing through a tensed phase ahead of a crucial verdict on the Bangabandhu killing case.
“It's going to be a major event in Bangladesh's history. And investors are on a 'wait-and-see' mode that partly impacted the market,” said a market analyst.
The benchmark index of Dhaka Stock Exchange, DSE General Index, dropped by 72.04 points, or 1.73 percent, to 4,077.77.
“The gain in the banking sector was not strong enough to pull the market as other sectors went down together with the telecom sector,” BRAC-EPL, an investment firm, said in an analysis.
The banking sector gained 0.86 percent. Of the highest gainers, City Bank jumped by 7.29 percent and One Bank by 7.04 percent.
According to the BRAC-EPL analysis, price depreciation in Grameenphone shares pulled the market down throughout the session.
Grameenphone closed at its lowest on the third day of its trade on the DSE. The price went down 7.54 percent to Tk 158.20 at the end of the session.
The leading cellphone operator joined the stock market with 135 crore ordinary shares of Tk 10 each. However, the offer price was Tk 70 per share, of which Tk 60 was premium. It raised Tk 486 crore through an initial public offering (IPO) and another Tk 486 crore through pre-IPO or private placement.
The broader DSE All Share Price Index plunged 54.66 points, or 1.58 percent, to 3,383.38.
Losers beat advancers 145 to 89 with one security remaining unchanged. A total of 2,67,94,963 shares and mutual fund units worth Tk 816.14 crore traded on the premier bourse.
....................................................................................
GP pulls down DSE index
FE Report
The benchmark index of the Dhaka Stock Exchange (DSE) saw a five-month biggest decline Wednesday, led by heavyweight Grameenphone (GP) shares that fell 7.53 per cent.
The market started with negative activity as it slid steeply, losing 30 points in the first twenty minutes. However, it recovered five points in the next ten minutes before falling steadily until close of the trade.
The benchmark DSE General Index (DGEN) tumbled 72.04 points or 1.73 per cent to close at 4077.77, its single-day sharpest fall since July 5 this year when it lost 103 points.
Gain in banking issues failed to prevent the DGEN from falling as most of the sectors also edged lower.
The broader All Shares Price Index (DSI) lost 54.66 points or 1.58 per cent to close at 3383.38 while DSE-20 Index (DS20) comprising blue chips finished at 2336.27 with a fractional gain of 0.88 points or 0.03 per cent.
Erosion in share price of GP, the market's largest contributor to market capitalisation, pulled the market down throughout the session, according to stockbrokers.
GP shares were traded at the lowest values since the beginning of its trade in DSE Monday last. However, its volume of trade was the highest for the day.
Stock prices of the GP closed at Tk 158.20, down 7.53 per cent from the previous day's close at Tk 171.10. However, its highest and lowest trading prices were Tk 170.20 and Tk 158.00 respectively.
The market was skewed towards losers as out of 235 issues traded, 89 went into the negative territory, 145 ended into the positive and one remained unchanged.
The total turnover suffered as it stood at Tk 8.17 billion, down 11 per cent from the previous session's Tk 9.14 billion.
GP continued to retain the top position in the turnover list since its debut three days back with shares worth Tk 440.33 million changing hands.
It was followed by Titas Gas, Summit Alliance Port, Social Investment Bank, Jamuna Oil, AB Bank, Beximco, Padma Oil, Bextex and National Bank Limited.
....................................................................................
DSE index sees big single-day slide - GP shares continue fall
New Age Report
The general index of Dhaka Stock Exchange lost 72.04 points, the index’s second highest single-day fall in this year, with the Grameenphone Ltd topped the losers on its third trading day on the secondary market.
Market operators said fall in the share prices of the mobile phone operator, a heavyweight company, influenced the movements of the indices concerned.
The DSE general index lost 1.74 per cent to close at 4,077.78. The bourse’s key index recorded its highest single-day fall in this year on July 5 with 103.66 points drop.
The DSE all share price index dropped by 54.66 points, or 1.59 per cent, to finish at 3,383.38 on Wednesday.
The DSE20 index of blue chips which does not include Grameenphone, however, gained 0.88 points, or 0.04 per cent, to close at 2,336.27.
Share prices of Grameenphone lost 7.53 per cent to close at Tk 158.20 each on Wednesday. The share prices of the company dropped also on Tuesday after a 1,673-per cent rise on the company’s debut on the bourse Monday.
Grameenphone, however, retained its topmost position among the turnover leaders for the third day with a total transaction of Tk 44.03 crore on Wednesday.
In October, the country’s largest mobile phone operator raised Tk 486.08 crore, floating 6,94,39,400 ordinary shares through an initial public offering.
The face value of the shares of the company is Tk 10 each. The issue price was Tk 70 with a premium of Tk 60.
Of the total 235 issues traded on Wednesday, 145 declined, 89 advanced, and one remained unchanged.
Turnover at the DSE dropped to Tk 816.15 crore from the Tuesday’s Tk 913.81 crore.
Dhaka stocks suffered a steep decline yesterday, as most sectors went down, led by a fall in the prices of Grameenphone.
Insiders said the market was passing through a tensed phase ahead of a crucial verdict on the Bangabandhu killing case.
“It's going to be a major event in Bangladesh's history. And investors are on a 'wait-and-see' mode that partly impacted the market,” said a market analyst.
The benchmark index of Dhaka Stock Exchange, DSE General Index, dropped by 72.04 points, or 1.73 percent, to 4,077.77.
“The gain in the banking sector was not strong enough to pull the market as other sectors went down together with the telecom sector,” BRAC-EPL, an investment firm, said in an analysis.
The banking sector gained 0.86 percent. Of the highest gainers, City Bank jumped by 7.29 percent and One Bank by 7.04 percent.
According to the BRAC-EPL analysis, price depreciation in Grameenphone shares pulled the market down throughout the session.
Grameenphone closed at its lowest on the third day of its trade on the DSE. The price went down 7.54 percent to Tk 158.20 at the end of the session.
The leading cellphone operator joined the stock market with 135 crore ordinary shares of Tk 10 each. However, the offer price was Tk 70 per share, of which Tk 60 was premium. It raised Tk 486 crore through an initial public offering (IPO) and another Tk 486 crore through pre-IPO or private placement.
The broader DSE All Share Price Index plunged 54.66 points, or 1.58 percent, to 3,383.38.
Losers beat advancers 145 to 89 with one security remaining unchanged. A total of 2,67,94,963 shares and mutual fund units worth Tk 816.14 crore traded on the premier bourse.
....................................................................................
GP pulls down DSE index
FE Report
The benchmark index of the Dhaka Stock Exchange (DSE) saw a five-month biggest decline Wednesday, led by heavyweight Grameenphone (GP) shares that fell 7.53 per cent.
The market started with negative activity as it slid steeply, losing 30 points in the first twenty minutes. However, it recovered five points in the next ten minutes before falling steadily until close of the trade.
The benchmark DSE General Index (DGEN) tumbled 72.04 points or 1.73 per cent to close at 4077.77, its single-day sharpest fall since July 5 this year when it lost 103 points.
Gain in banking issues failed to prevent the DGEN from falling as most of the sectors also edged lower.
The broader All Shares Price Index (DSI) lost 54.66 points or 1.58 per cent to close at 3383.38 while DSE-20 Index (DS20) comprising blue chips finished at 2336.27 with a fractional gain of 0.88 points or 0.03 per cent.
Erosion in share price of GP, the market's largest contributor to market capitalisation, pulled the market down throughout the session, according to stockbrokers.
GP shares were traded at the lowest values since the beginning of its trade in DSE Monday last. However, its volume of trade was the highest for the day.
Stock prices of the GP closed at Tk 158.20, down 7.53 per cent from the previous day's close at Tk 171.10. However, its highest and lowest trading prices were Tk 170.20 and Tk 158.00 respectively.
The market was skewed towards losers as out of 235 issues traded, 89 went into the negative territory, 145 ended into the positive and one remained unchanged.
The total turnover suffered as it stood at Tk 8.17 billion, down 11 per cent from the previous session's Tk 9.14 billion.
GP continued to retain the top position in the turnover list since its debut three days back with shares worth Tk 440.33 million changing hands.
It was followed by Titas Gas, Summit Alliance Port, Social Investment Bank, Jamuna Oil, AB Bank, Beximco, Padma Oil, Bextex and National Bank Limited.
....................................................................................
DSE index sees big single-day slide - GP shares continue fall
New Age Report
The general index of Dhaka Stock Exchange lost 72.04 points, the index’s second highest single-day fall in this year, with the Grameenphone Ltd topped the losers on its third trading day on the secondary market.
Market operators said fall in the share prices of the mobile phone operator, a heavyweight company, influenced the movements of the indices concerned.
The DSE general index lost 1.74 per cent to close at 4,077.78. The bourse’s key index recorded its highest single-day fall in this year on July 5 with 103.66 points drop.
The DSE all share price index dropped by 54.66 points, or 1.59 per cent, to finish at 3,383.38 on Wednesday.
The DSE20 index of blue chips which does not include Grameenphone, however, gained 0.88 points, or 0.04 per cent, to close at 2,336.27.
Share prices of Grameenphone lost 7.53 per cent to close at Tk 158.20 each on Wednesday. The share prices of the company dropped also on Tuesday after a 1,673-per cent rise on the company’s debut on the bourse Monday.
Grameenphone, however, retained its topmost position among the turnover leaders for the third day with a total transaction of Tk 44.03 crore on Wednesday.
In October, the country’s largest mobile phone operator raised Tk 486.08 crore, floating 6,94,39,400 ordinary shares through an initial public offering.
The face value of the shares of the company is Tk 10 each. The issue price was Tk 70 with a premium of Tk 60.
Of the total 235 issues traded on Wednesday, 145 declined, 89 advanced, and one remained unchanged.
Turnover at the DSE dropped to Tk 816.15 crore from the Tuesday’s Tk 913.81 crore.
BB cuts bank service charges
Rejaul Karim Byron
Bangladesh Bank has once again lowered different banking charges, fees and commissions to provide assistance to businessmen hurt by falling exports.
The central bank yesterday sent a letter to all commercial banks on the new decision.
The highest rate of tri-monthly commission for opening deferred L/Cs may be fixed at 0.50 percent of the total amount, down from 0.60 percent now.
The L/C confirmation charge has been fixed at a maximum of 0.20 percent from the existing 0.25 percent. L/C advising, amendment and transfer charges have been reset at a maximum of Tk 750 from the current charge of Tk 1,000.
Charges for data fax, handling, copy document endorsement have been cancelled, the central bank said in the circular.
Commissions on export bill negotiation and export bill collection may be set at a maximum of 0.15 percent. Earlier, the banks had fixed these charges independently.
When the banks give loans to any customer in foreign currency from the export development fund, the rate of interest will be fixed in line with LIBOR (London Inter-bank Offer Rate) plus 1 percent.
Exporters will not have to pay overdue interests in case of site payments for irrevocable L/C. Site payment means importers will pay the bank on receipt of export documents.
In the backdrop of falling exports, the government is going to provide different types of incentive to the exporters, said a Bangladesh Bank official. The government has already prepared a package.
The finance minister is likely to announce the package after returning from Turkey and the UAE. These steps have been taken in the banking sector as part of the measure.
Investment is also experiencing a sluggish trend. The cut in service charges is part of a measure to boost investment.
Earlier in September last year, the central bank cut service charges, commissions and fees. Earlier this year, the BB has asked Bangladesh Association of Banks and Association of Bankers Bangladesh to review the charges, fees and commissions.
The Federation of Bangladesh Chambers of Commerce and Industry sent a proposal to the BB four months ago to cut banks' charges, fees and commissions.
Welcoming the BB decision, Helal Ahmed Chowdhury, managing director of Pubali Bank, said cutting charges and commissions is a continuous process.
“We have reduced it at least twice in the past one a half year,” Chowdhury said.
Bangladesh Bank has once again lowered different banking charges, fees and commissions to provide assistance to businessmen hurt by falling exports.
The central bank yesterday sent a letter to all commercial banks on the new decision.
The highest rate of tri-monthly commission for opening deferred L/Cs may be fixed at 0.50 percent of the total amount, down from 0.60 percent now.
The L/C confirmation charge has been fixed at a maximum of 0.20 percent from the existing 0.25 percent. L/C advising, amendment and transfer charges have been reset at a maximum of Tk 750 from the current charge of Tk 1,000.
Charges for data fax, handling, copy document endorsement have been cancelled, the central bank said in the circular.
Commissions on export bill negotiation and export bill collection may be set at a maximum of 0.15 percent. Earlier, the banks had fixed these charges independently.
When the banks give loans to any customer in foreign currency from the export development fund, the rate of interest will be fixed in line with LIBOR (London Inter-bank Offer Rate) plus 1 percent.
Exporters will not have to pay overdue interests in case of site payments for irrevocable L/C. Site payment means importers will pay the bank on receipt of export documents.
In the backdrop of falling exports, the government is going to provide different types of incentive to the exporters, said a Bangladesh Bank official. The government has already prepared a package.
The finance minister is likely to announce the package after returning from Turkey and the UAE. These steps have been taken in the banking sector as part of the measure.
Investment is also experiencing a sluggish trend. The cut in service charges is part of a measure to boost investment.
Earlier in September last year, the central bank cut service charges, commissions and fees. Earlier this year, the BB has asked Bangladesh Association of Banks and Association of Bankers Bangladesh to review the charges, fees and commissions.
The Federation of Bangladesh Chambers of Commerce and Industry sent a proposal to the BB four months ago to cut banks' charges, fees and commissions.
Welcoming the BB decision, Helal Ahmed Chowdhury, managing director of Pubali Bank, said cutting charges and commissions is a continuous process.
“We have reduced it at least twice in the past one a half year,” Chowdhury said.
Wednesday, November 18, 2009
OCL to be listed with CSE under book building method
Sheikh Shahariar Zaman
Ocean Containers Limited (OCL), a local enterprise engaged in container business, is going to be listed with the Chittagong Stock Exchange (CSE) under book building method.
This the first time a company will be listed under book building method and it will also be directly listed with the bourse, said its upbeat chairman Muhammad Aziz Khan, also the chairman of Summit Group.
He said it is expected that the listing process to be completed by early December.
The company will offer 5.355 million shares for the general investors and 1.19 million shares for institutional investors, he said.
"We expect that the investors will pay at least Tk 126.58 per share as the company is performing very well," he added.
The face value of per share has been determined at Tk 10 and the company will be allowed to offload 11.9 million shares.
The company received 'A plus' rating for long term and 'ST-2' for short term with its business of inland container depot and container freight station.
Mr Aziz claimed that OCL is the largest off-dock in the country handling 20 per cent of total export volume.
"It handled 61,961 twenty-feet equivalent containers in 2008 and 45,468 TEUs up to September this year," he said.
It earned Tk 109 million net profit in the last year and its net asset value is Tk 1.232 billion.
The OCL chairman said containarised trade will continue to grow as this is the more efficient trend in transportation of goods worldwide.
The company arranged a road show on Monday to demonstrate the performance of the company in front of the investors.
Deputy managing director of OCL Yasser Rizvi in a presentation said the company handled about 300 containers per day.
"It has a long-term contract with Maersk Logistics, which handles 35 per cent to 40 per cent of Bangladesh's total export volume," he said.
It is the first company to have the ISO certification for inland container depot and container freight station services, he added.
A large number of investors, officials from Dhaka and Chittagong exchanges were present at the road show.
Ocean Containers Limited (OCL), a local enterprise engaged in container business, is going to be listed with the Chittagong Stock Exchange (CSE) under book building method.
This the first time a company will be listed under book building method and it will also be directly listed with the bourse, said its upbeat chairman Muhammad Aziz Khan, also the chairman of Summit Group.
He said it is expected that the listing process to be completed by early December.
The company will offer 5.355 million shares for the general investors and 1.19 million shares for institutional investors, he said.
"We expect that the investors will pay at least Tk 126.58 per share as the company is performing very well," he added.
The face value of per share has been determined at Tk 10 and the company will be allowed to offload 11.9 million shares.
The company received 'A plus' rating for long term and 'ST-2' for short term with its business of inland container depot and container freight station.
Mr Aziz claimed that OCL is the largest off-dock in the country handling 20 per cent of total export volume.
"It handled 61,961 twenty-feet equivalent containers in 2008 and 45,468 TEUs up to September this year," he said.
It earned Tk 109 million net profit in the last year and its net asset value is Tk 1.232 billion.
The OCL chairman said containarised trade will continue to grow as this is the more efficient trend in transportation of goods worldwide.
The company arranged a road show on Monday to demonstrate the performance of the company in front of the investors.
Deputy managing director of OCL Yasser Rizvi in a presentation said the company handled about 300 containers per day.
"It has a long-term contract with Maersk Logistics, which handles 35 per cent to 40 per cent of Bangladesh's total export volume," he said.
It is the first company to have the ISO certification for inland container depot and container freight station services, he added.
A large number of investors, officials from Dhaka and Chittagong exchanges were present at the road show.
Sale orders in OTC market ising with few buyers
FE Report
Sale orders are increasing in the Over-the-Counter (OTC) market but finding no buyer some shareholders have placed revised sale orders lowering the previous demanding price.
DSE is highly optimistic about the future of the OTC market and is going to arrange awareness programmes for investors, said the DSE authority.
"We are trying to make effective the OTC market through awareness programmes. We hope the shareholders will get result in the near future," Md. Rakibur Rahman, the president of DSE, told the FE Tuesday.
"We are going to make easier the trading system in the OTC market installing a new software. We will also bring a change in buying option which will inspire the shareholders to trade in this market," Saiful Islam, senior vice president of DSE, told the FE.
Thirty individual sellers have placed sale orders of their shares since the OTC market started on September 6 last. Meanwhile, two individual shareholders of Ashraf Textile Mills Limited and Modern Cement Limited were able to sell their placed shares in the OTC market.
"The sellers are coming every day to have information and to place sale orders. But the response of buyers is not satisfactory," an official of DSE told the FE Tuesday.
After launching of the OTC market four individual shareholders of Modern Cement Limited, Excelsior Shoes Limited, Maq Enterprise Limited and BCIL found no buyers since October 14 last. After October 14 more shareholders placed their sale orders in the OTC market.
Sale orders are increasing in the Over-the-Counter (OTC) market but finding no buyer some shareholders have placed revised sale orders lowering the previous demanding price.
DSE is highly optimistic about the future of the OTC market and is going to arrange awareness programmes for investors, said the DSE authority.
"We are trying to make effective the OTC market through awareness programmes. We hope the shareholders will get result in the near future," Md. Rakibur Rahman, the president of DSE, told the FE Tuesday.
"We are going to make easier the trading system in the OTC market installing a new software. We will also bring a change in buying option which will inspire the shareholders to trade in this market," Saiful Islam, senior vice president of DSE, told the FE.
Thirty individual sellers have placed sale orders of their shares since the OTC market started on September 6 last. Meanwhile, two individual shareholders of Ashraf Textile Mills Limited and Modern Cement Limited were able to sell their placed shares in the OTC market.
"The sellers are coming every day to have information and to place sale orders. But the response of buyers is not satisfactory," an official of DSE told the FE Tuesday.
After launching of the OTC market four individual shareholders of Modern Cement Limited, Excelsior Shoes Limited, Maq Enterprise Limited and BCIL found no buyers since October 14 last. After October 14 more shareholders placed their sale orders in the OTC market.
GP makes history but downside remains
Shamsul Huq Zahid
As expected, it was more of a 'mar mar cut cut' situation on the debut trading of the Grameenphone (GP) shares on the bourses last Monday.
Most investors, both seasoned and new-entrants, remained glued to computer monitors at home, offices and brokerage houses, watching price movements of the issue that has made history, in terms of its size, investors' response and the single-day boost to the benchmark DGEN.
On the first day of its trading, GP, which mopped up from the market Tk. 4.9 billion through IPO last month and an equivalent amount through per-placement several months back, posted a rise of 1673 per cent to close at Tk 177.30 from its IPO price of Tk 70, including a premium of Tk 60, a share.
Some market experts have described the developments centering the GP issue a good omen for the country's capital market, saying that both sellers and buyers have displayed 'maturity' on their part on the first two days of trading. One expert, who is quoted frequently in the media, has even termed the ruling market price of the GP issue as 'fair for such a large company'.
The euphoria over the GP issue among the investors has been partly because of its size and the very image of the company and partly due to the comments made, from time to time, by top bosses of the relevant organizations and, to some extent, excessive media attention.
The fact remains that high market price of its shares does not mean anything, in terms of financial gains, to a listed company. However, theoretically, the rise and fall in demand is dependent on the performance and dividend payment of the company concerned. An enlightened management does always value the investors' perception about a listed company.
Whether the ruling market price of GP is ' fair' or not only future will decide. What should be important for a long-term investor is the return he or she would be getting from the company on his or her investment at the end of the year in the form dividend. The size of the issue will be pretty important here.
However, investors who are more interested in market gains bother least about dividend income. These days, long-term investors who are choosy and are unwilling to put in their money on stocks of companies with weak fundamentals are rarely seen in the market. For they find the prices of the stocks having strong fundamentals, in most cases, well beyond a rational level.
Apparently, the bourses are not that interested in this type of investors. What they aspire to see is an ever-growing market abuzz with investors making frequent transactions. It matters little to them whether they are fly-by-night investors or not.
Despite the fact that the developments at the share market are no way relevant to the goings-on in other major areas of the economy, most people would heartily welcome the robust growth of the market. There are, however, a few downsides that the management of the bourses would like to downplay. But the Securities and Exchange Commission (SEC) cannot ignore a few unpalatable developments associated with the current growth of the market. For in the event of a debacle, everybody would point finger at the Commission.
There is no denying that all the stakeholders do need to work in unison for the healthy growth of the capital market. But, at times, there surfaces a conflict of interests. For instance, the SEC is mandated to take tough measures for protecting the interest of the investors. But other stakeholders may not like the SEC actions. So, if such stakeholders are allowed to have a finger in every pie, the Commission might find hard to take a tough stand when it is needed most. So, the SEC needs to maintain its independent status and go for what is necessary for a stable growth of the market.
While doing so, the securities regulator should not be at all disturbed by street demonstrations by a handful of so-called investors. Such demonstrations are stage-managed and general investors are no way involved in the same.
As a first step towards straightening up things, the SEC should look into the existence of a large number of fake Beneficiary Owner (BO) accounts. The main reason for investors making long queues for IPO subscription and subsequent high price of new shares is the presence of fake BO accounts. Allegation have it a substantial part of the estimated 2.2 million BO accounts is fake. In the event of detection of such accounts and their cancellation would help remove a few distortions in the market.
There are reasons to be elated by the fact that the market has well absorbed a large issue like the GP. But the market needs some more large issues to dilute the investors' attention to some selected shares. In addition, the SEC should advice the investors to go through the recently published quarterly financial statements of the listed companies while making their investment decisions. That would serve the purpose behind the SEC asking the companies to publish the statements.
Zahidmar10@gmail.com
As expected, it was more of a 'mar mar cut cut' situation on the debut trading of the Grameenphone (GP) shares on the bourses last Monday.
Most investors, both seasoned and new-entrants, remained glued to computer monitors at home, offices and brokerage houses, watching price movements of the issue that has made history, in terms of its size, investors' response and the single-day boost to the benchmark DGEN.
On the first day of its trading, GP, which mopped up from the market Tk. 4.9 billion through IPO last month and an equivalent amount through per-placement several months back, posted a rise of 1673 per cent to close at Tk 177.30 from its IPO price of Tk 70, including a premium of Tk 60, a share.
Some market experts have described the developments centering the GP issue a good omen for the country's capital market, saying that both sellers and buyers have displayed 'maturity' on their part on the first two days of trading. One expert, who is quoted frequently in the media, has even termed the ruling market price of the GP issue as 'fair for such a large company'.
The euphoria over the GP issue among the investors has been partly because of its size and the very image of the company and partly due to the comments made, from time to time, by top bosses of the relevant organizations and, to some extent, excessive media attention.
The fact remains that high market price of its shares does not mean anything, in terms of financial gains, to a listed company. However, theoretically, the rise and fall in demand is dependent on the performance and dividend payment of the company concerned. An enlightened management does always value the investors' perception about a listed company.
Whether the ruling market price of GP is ' fair' or not only future will decide. What should be important for a long-term investor is the return he or she would be getting from the company on his or her investment at the end of the year in the form dividend. The size of the issue will be pretty important here.
However, investors who are more interested in market gains bother least about dividend income. These days, long-term investors who are choosy and are unwilling to put in their money on stocks of companies with weak fundamentals are rarely seen in the market. For they find the prices of the stocks having strong fundamentals, in most cases, well beyond a rational level.
Apparently, the bourses are not that interested in this type of investors. What they aspire to see is an ever-growing market abuzz with investors making frequent transactions. It matters little to them whether they are fly-by-night investors or not.
Despite the fact that the developments at the share market are no way relevant to the goings-on in other major areas of the economy, most people would heartily welcome the robust growth of the market. There are, however, a few downsides that the management of the bourses would like to downplay. But the Securities and Exchange Commission (SEC) cannot ignore a few unpalatable developments associated with the current growth of the market. For in the event of a debacle, everybody would point finger at the Commission.
There is no denying that all the stakeholders do need to work in unison for the healthy growth of the capital market. But, at times, there surfaces a conflict of interests. For instance, the SEC is mandated to take tough measures for protecting the interest of the investors. But other stakeholders may not like the SEC actions. So, if such stakeholders are allowed to have a finger in every pie, the Commission might find hard to take a tough stand when it is needed most. So, the SEC needs to maintain its independent status and go for what is necessary for a stable growth of the market.
While doing so, the securities regulator should not be at all disturbed by street demonstrations by a handful of so-called investors. Such demonstrations are stage-managed and general investors are no way involved in the same.
As a first step towards straightening up things, the SEC should look into the existence of a large number of fake Beneficiary Owner (BO) accounts. The main reason for investors making long queues for IPO subscription and subsequent high price of new shares is the presence of fake BO accounts. Allegation have it a substantial part of the estimated 2.2 million BO accounts is fake. In the event of detection of such accounts and their cancellation would help remove a few distortions in the market.
There are reasons to be elated by the fact that the market has well absorbed a large issue like the GP. But the market needs some more large issues to dilute the investors' attention to some selected shares. In addition, the SEC should advice the investors to go through the recently published quarterly financial statements of the listed companies while making their investment decisions. That would serve the purpose behind the SEC asking the companies to publish the statements.
Zahidmar10@gmail.com
Dhaka stocks finish almost flat as GP depreciates
Star Business Report
Dhaka stocks finished nearly flat yesterday, led by price depreciation in Grameenphone shares on the second day of its trade.
Although 75 percent of issues or 175 securities traded up, the benchmark index of the premier bourse closed up only 1.7 points, or 0.04 percent.
“The market showed resilience against a fall in share prices of Grameenphone,” BRAC-EPL, an investment firm, said in an analysis.
Grameenphone, the leading mobile phone operator, made its trading debut on Monday as the largest issue in the history of Bangladesh capital market.
At the end of yesterday's trading session, Grameenphone shares depreciated 3.5 percent. As a sector, it lost more than 88 points.
Starting at Tk 176.10, each Grameenphone share rose as high as Tk 186 before closing at Tk 171.10.
The number of trades went down significantly (less than half) compared to the previous day. The value of trade however was still the highest for the day. A total of 28,32,800 Grameenphone shares worth Tk 49.88 crore traded on the Dhaka Stock Exchange.
Grameenphone joined the stock market with 135 crore ordinary shares of Tk 10 each. However, the offer price was Tk 70 per share, of which Tk 60 was premium. It raised Tk 486 crore through an initial public offering (IPO) and another Tk 486 crore through pre-IPO or private placement.
The market started high by gaining about 65 points within the first 20 minutes of trade. But the market lost momentum on profit-taking and a price fall in Grameenphone. It continued the losing trend for the rest of the session.
The total turnover however increased heavily yesterday, as investors are moving away from the 'wait-and-watch' approach. It increased by 24 percent to Tk 913.81 crore.
A total of 3,13,27,780 shares and mutual fund units traded on the DSE.
The banking sector continued the gaining momentum, as the sector advanced by 1.66 percent. All non-bank financial institutions also rose, with a number of companies gaining more than 5 percent.
Dhaka stocks finished nearly flat yesterday, led by price depreciation in Grameenphone shares on the second day of its trade.
Although 75 percent of issues or 175 securities traded up, the benchmark index of the premier bourse closed up only 1.7 points, or 0.04 percent.
“The market showed resilience against a fall in share prices of Grameenphone,” BRAC-EPL, an investment firm, said in an analysis.
Grameenphone, the leading mobile phone operator, made its trading debut on Monday as the largest issue in the history of Bangladesh capital market.
At the end of yesterday's trading session, Grameenphone shares depreciated 3.5 percent. As a sector, it lost more than 88 points.
Starting at Tk 176.10, each Grameenphone share rose as high as Tk 186 before closing at Tk 171.10.
The number of trades went down significantly (less than half) compared to the previous day. The value of trade however was still the highest for the day. A total of 28,32,800 Grameenphone shares worth Tk 49.88 crore traded on the Dhaka Stock Exchange.
Grameenphone joined the stock market with 135 crore ordinary shares of Tk 10 each. However, the offer price was Tk 70 per share, of which Tk 60 was premium. It raised Tk 486 crore through an initial public offering (IPO) and another Tk 486 crore through pre-IPO or private placement.
The market started high by gaining about 65 points within the first 20 minutes of trade. But the market lost momentum on profit-taking and a price fall in Grameenphone. It continued the losing trend for the rest of the session.
The total turnover however increased heavily yesterday, as investors are moving away from the 'wait-and-watch' approach. It increased by 24 percent to Tk 913.81 crore.
A total of 3,13,27,780 shares and mutual fund units traded on the DSE.
The banking sector continued the gaining momentum, as the sector advanced by 1.66 percent. All non-bank financial institutions also rose, with a number of companies gaining more than 5 percent.
Tuesday, November 17, 2009
Website of Dhaka Stock Exchange modified
The website of Dhaka Stock Exchange modified.Now u can see Top 20 share instead of Top 10 share.U can see script wise seller & buyer under the head Market price.Some important links also added here.Share price by various way u can observe.So browse & enrich your knowledge by surfing www.dsebd.org or www.dse.com.bd
Peoples query???
Mr. Ratan's query:Dear Mr Rashed
Thanks for ur MS word IPO format.But here is no mother's name in ipo form of provati insurance.Is it valid ???Pls advise.
Thanks
ratan
Rashed say:Yes i know.The main form of Provati Insurance in their prospectus is out of Mother's name.I make the MS word form followed by main form.So there is no mother's name option.But i think its better to include mothers name.U can add it.
Thanks for ur MS word IPO format.But here is no mother's name in ipo form of provati insurance.Is it valid ???Pls advise.
Thanks
ratan
Rashed say:Yes i know.The main form of Provati Insurance in their prospectus is out of Mother's name.I make the MS word form followed by main form.So there is no mother's name option.But i think its better to include mothers name.U can add it.
National Asset Management to start operation soon
FE Report
Securities and Exchange Commission has recently awarded asset management license to National Asset Management Ltd. as seventh private sector Asset Management Company (AMC) in Bangladesh.
The Company will very shortly commence its activities by launching Mutual Fund as issue and fund manager and expects to play a leading role in the capital market of the country.
The company allowed under Mutual Fund Rules 2001, is sponsored by a group of highly qualified professional with long experience in investment management and capital markets in the country and abroad.``
Securities and Exchange Commission has recently awarded asset management license to National Asset Management Ltd. as seventh private sector Asset Management Company (AMC) in Bangladesh.
The Company will very shortly commence its activities by launching Mutual Fund as issue and fund manager and expects to play a leading role in the capital market of the country.
The company allowed under Mutual Fund Rules 2001, is sponsored by a group of highly qualified professional with long experience in investment management and capital markets in the country and abroad.``
Cement makers look to brighter days
Kawsar Khan-Star Business Report
Local cement makers see bright prospects for the days to come as the government plans to embark on some big civil engineering projects in Bangladesh, including the Padma Bridge.
Some local companies are enhancing their production capacity, as domestic demand has consistently been on the rise for the past few years, except for 2007, along with increasing government initiatives, sector people said.
The government plans to complete construction of the 6.15-kilometre long Padma Bridge, which will be the largest civil engineering project of Bangladesh, and Dhaka-Chittagong express highway in its tenure.
The government's plans to set up several flyovers in Dhaka under the strategic transport plan and build 142 bridges across the country are expected to bring vibrancy to the cement sector.
"As local companies have improved a great deal in the last few years, construction firms are now collecting cement from local sources for big public projects," said Gopal Krishna Bagchi, a researcher and development official of Shun Sing Group, which manufactures the Seven Rings brand cement.
The sector people said local cement was used in a few recent public construction projects, including the Bhairab Bridge, and the Sixth Bangladesh-China Friendship Bridge (Mukterpur Bridge) in Munshiganj.
But local cement makers were not in the same condition 10 years ago.
During the construction of Bangabandhu Bridge on the Jamuna river, the constructing firm -- Hyundai Engineering and Construction Co Ltd -- had to set up a cement factory of its own to ensure cement supply to the mega project.
The local cement sector has since come a long way, meeting domestic demand and exporting to neighbouring countries.
Presently there are 30 operational cement companies that can produce around 20 million tonnes of cement a year against a demand for 8.5 million tonnes.
"Assuming high domestic demand in future, we are expanding our production capacity to meet requirements " said Bagchi.
An official of Holcim (Bangladesh) Ltd said the company was also expanding its production capacity by 0.6 million tonnes due to consistent consumption and export growth.
"Cement consumption in Bangladesh is expected to witness growth of 13 percent in 2009, rising from 8 percent last year," said Shankar Kumar Roy, general manager (Business Development) of Holcim.
Mostafa Kamal, president of Bangladesh Cement Manufacturing Association, said though cement consumption is growing, local manufacturers have to keep a large portion of their factories idle, as "local factories will be able to produce in full swing when those public construction works begin".
Kamal urged the government to give local cement manufacturers the same facilities as for the foreign companies for supplying cement to the public projects.
During construction of Bangabandhu Bridge, the government offered duty free facilities to the constructing firm to import machinery and raw materials for cement.
"All cement companies might not be able to supply cement to big public projects for not having large production and supply capacities," Bagchi said.
Bangladesh exports around 12,000-14,000 tonnes of cement a month, mainly to India.
kawsar@thedailystar.net
Local cement makers see bright prospects for the days to come as the government plans to embark on some big civil engineering projects in Bangladesh, including the Padma Bridge.
Some local companies are enhancing their production capacity, as domestic demand has consistently been on the rise for the past few years, except for 2007, along with increasing government initiatives, sector people said.
The government plans to complete construction of the 6.15-kilometre long Padma Bridge, which will be the largest civil engineering project of Bangladesh, and Dhaka-Chittagong express highway in its tenure.
The government's plans to set up several flyovers in Dhaka under the strategic transport plan and build 142 bridges across the country are expected to bring vibrancy to the cement sector.
"As local companies have improved a great deal in the last few years, construction firms are now collecting cement from local sources for big public projects," said Gopal Krishna Bagchi, a researcher and development official of Shun Sing Group, which manufactures the Seven Rings brand cement.
The sector people said local cement was used in a few recent public construction projects, including the Bhairab Bridge, and the Sixth Bangladesh-China Friendship Bridge (Mukterpur Bridge) in Munshiganj.
But local cement makers were not in the same condition 10 years ago.
During the construction of Bangabandhu Bridge on the Jamuna river, the constructing firm -- Hyundai Engineering and Construction Co Ltd -- had to set up a cement factory of its own to ensure cement supply to the mega project.
The local cement sector has since come a long way, meeting domestic demand and exporting to neighbouring countries.
Presently there are 30 operational cement companies that can produce around 20 million tonnes of cement a year against a demand for 8.5 million tonnes.
"Assuming high domestic demand in future, we are expanding our production capacity to meet requirements " said Bagchi.
An official of Holcim (Bangladesh) Ltd said the company was also expanding its production capacity by 0.6 million tonnes due to consistent consumption and export growth.
"Cement consumption in Bangladesh is expected to witness growth of 13 percent in 2009, rising from 8 percent last year," said Shankar Kumar Roy, general manager (Business Development) of Holcim.
Mostafa Kamal, president of Bangladesh Cement Manufacturing Association, said though cement consumption is growing, local manufacturers have to keep a large portion of their factories idle, as "local factories will be able to produce in full swing when those public construction works begin".
Kamal urged the government to give local cement manufacturers the same facilities as for the foreign companies for supplying cement to the public projects.
During construction of Bangabandhu Bridge, the government offered duty free facilities to the constructing firm to import machinery and raw materials for cement.
"All cement companies might not be able to supply cement to big public projects for not having large production and supply capacities," Bagchi said.
Bangladesh exports around 12,000-14,000 tonnes of cement a month, mainly to India.
kawsar@thedailystar.net
Debutant GP pulls DGEN to all-time high level
FE Report
Shares of Grameenphone (GP) climbed 2.5 times higher than its face value at the Dhaka Stock Exchange (DSE) Monday after the country's largest mobile phone operator made debut, sending the indices to a record high.
The DSE benchmark index gained more than 20 per cent minutes after the GP shares hit the floors with the price jumping to its peak at Tk 195, or 279 per cent more than the Initial Public Offering (IPO) value.
At the end of the day, the benchmark DGEN surged 22.60 per cent or 764.87 points, the highest ever single-day rise, to 4148.11, which is also an all time high.
GP, the country's largest issue, alone added 717 points and other companies another 47 points with the DGEN Monday, sending it to an all time high, said the DSE.
"GP's debut is a big boost for the country's stock market. It will help stabilise the market," said Yawar Sayeed, a capital market analyst.
The investors have also shown maturity both at the buyers' end and the sellers' end, centring the GP debut, he said. "To my opinion, it's a fare price for such a large company," he added.
The GP, which has more than 21 million of Bangladesh's fast growing 50.4 million cellular subscriber base, is 55.8 per cent owned by Telenor Group, and the rest by Grameen Telecom, a sister company of micro-finance giant Grameen Bank.
It is also the country's largest private company in terms of revenues that are, according to the analysts, likely to touch $1.0 billion in the current calendar year.
GP, which raised Tk 4.9 billion ($71 million) through IPO last month, posted a rise of 1673 per cent to close at Tk 177.30 from its IPO price of Tk 70 apiece.
However, its highest traded price was Tk 195 after opening at Tk 160 per share with most of the trading ranged between Tk 180 to Tk 182.
The market capitalisation at the prime bourse hit $25 billion or Tk 1.77 trillion from Tk 1.50 trillion, as the GP shares alone added 1.35 billion shares worth Tk 239.40 billion.
"It's a better- than-expected price of GP," said Moin Al Kasem, managing director of the Prime Finance Asset Management Company Ltd.
"Even after the largest issue's hitting the market, majority issues gained, proving the strength of the market," he added.
A total of 74,30,400 shares of GP worth Tk 1.33 billion were traded, accounting for 20 per cent of the total daily turnover. It is the highest single-day transaction by a company in the DSE.
Gainers took a strong lead over the losers, as out of 230 issues traded, 192 advanced, 17 declined and one remained unchanged.
The broader DSE All Shares Price Index (DSI) gained 600 points or 21.18 per cent to 3432.33 while DSE-20 blue chips index rose 37.52 points or 1.64 per cent to 2278.49.
The total turnover went up by six per cent to Tk 7.4 billion, up from previous session's Tk 7.0 billion.
The banking sector saw turnaround on the day with the sector gaining 1.52 per cent. Most of the non-banking financial institutions (NBFIs), pharmaceuticals, energy and cement issues edged higher while almost of all the mutual funds lost.
The general insurance companies ended mixed, while all the life insurance companies, except one, advanced.
In Chittagong Stock Exchange (CSE), the country's second bourse, the benchmark index CASPI rose 1.72 per cent to 11836.91.
The GP share debut was not reflected in the CSE benchmark index, as it adjusts the index after five trading sessions of any newly listed company, said a CSE official.
Shares of Grameenphone (GP) climbed 2.5 times higher than its face value at the Dhaka Stock Exchange (DSE) Monday after the country's largest mobile phone operator made debut, sending the indices to a record high.
The DSE benchmark index gained more than 20 per cent minutes after the GP shares hit the floors with the price jumping to its peak at Tk 195, or 279 per cent more than the Initial Public Offering (IPO) value.
At the end of the day, the benchmark DGEN surged 22.60 per cent or 764.87 points, the highest ever single-day rise, to 4148.11, which is also an all time high.
GP, the country's largest issue, alone added 717 points and other companies another 47 points with the DGEN Monday, sending it to an all time high, said the DSE.
"GP's debut is a big boost for the country's stock market. It will help stabilise the market," said Yawar Sayeed, a capital market analyst.
The investors have also shown maturity both at the buyers' end and the sellers' end, centring the GP debut, he said. "To my opinion, it's a fare price for such a large company," he added.
The GP, which has more than 21 million of Bangladesh's fast growing 50.4 million cellular subscriber base, is 55.8 per cent owned by Telenor Group, and the rest by Grameen Telecom, a sister company of micro-finance giant Grameen Bank.
It is also the country's largest private company in terms of revenues that are, according to the analysts, likely to touch $1.0 billion in the current calendar year.
GP, which raised Tk 4.9 billion ($71 million) through IPO last month, posted a rise of 1673 per cent to close at Tk 177.30 from its IPO price of Tk 70 apiece.
However, its highest traded price was Tk 195 after opening at Tk 160 per share with most of the trading ranged between Tk 180 to Tk 182.
The market capitalisation at the prime bourse hit $25 billion or Tk 1.77 trillion from Tk 1.50 trillion, as the GP shares alone added 1.35 billion shares worth Tk 239.40 billion.
"It's a better- than-expected price of GP," said Moin Al Kasem, managing director of the Prime Finance Asset Management Company Ltd.
"Even after the largest issue's hitting the market, majority issues gained, proving the strength of the market," he added.
A total of 74,30,400 shares of GP worth Tk 1.33 billion were traded, accounting for 20 per cent of the total daily turnover. It is the highest single-day transaction by a company in the DSE.
Gainers took a strong lead over the losers, as out of 230 issues traded, 192 advanced, 17 declined and one remained unchanged.
The broader DSE All Shares Price Index (DSI) gained 600 points or 21.18 per cent to 3432.33 while DSE-20 blue chips index rose 37.52 points or 1.64 per cent to 2278.49.
The total turnover went up by six per cent to Tk 7.4 billion, up from previous session's Tk 7.0 billion.
The banking sector saw turnaround on the day with the sector gaining 1.52 per cent. Most of the non-banking financial institutions (NBFIs), pharmaceuticals, energy and cement issues edged higher while almost of all the mutual funds lost.
The general insurance companies ended mixed, while all the life insurance companies, except one, advanced.
In Chittagong Stock Exchange (CSE), the country's second bourse, the benchmark index CASPI rose 1.72 per cent to 11836.91.
The GP share debut was not reflected in the CSE benchmark index, as it adjusts the index after five trading sessions of any newly listed company, said a CSE official.
Monday, November 16, 2009
Bourse course begins in city
FE Report
A five-day long 'Bourse Course' jointly organised by Bangladesh Foreign Exchange Dealers' Association (BAFEDA) and Standard Chartered Bank (SCB) began in the city Sunday.
A total of 28 inter-bank foreign exchange dealers from 25 nationalised commercial banks, private sector banks as well as the central bank are participating in the training.
During the course, participants would receive extensive training on issues related to foreign exchange, money market, asset liability management and fixed income trading, organisers said.
The training was inaugurated through a formal ceremony in the city Sunday. Chief Executive Officer of Standard Chartered Bank Jim McCabe, Managing Director of Eastern Bank Limited Ali Reza Iftekhar and Managing Director of National Bank Limited Md. Abdur Rahman Sarker were, among others, present on the occasion.
During the function, the speakers underscored the importance of training of this sort against the backdrop of the country's growing economy for gaining up-to-date professional knowledge about the financial market.
This is the second time that training of this type has been organised in the country. Previously a similar course was organised in 2007.
A five-day long 'Bourse Course' jointly organised by Bangladesh Foreign Exchange Dealers' Association (BAFEDA) and Standard Chartered Bank (SCB) began in the city Sunday.
A total of 28 inter-bank foreign exchange dealers from 25 nationalised commercial banks, private sector banks as well as the central bank are participating in the training.
During the course, participants would receive extensive training on issues related to foreign exchange, money market, asset liability management and fixed income trading, organisers said.
The training was inaugurated through a formal ceremony in the city Sunday. Chief Executive Officer of Standard Chartered Bank Jim McCabe, Managing Director of Eastern Bank Limited Ali Reza Iftekhar and Managing Director of National Bank Limited Md. Abdur Rahman Sarker were, among others, present on the occasion.
During the function, the speakers underscored the importance of training of this sort against the backdrop of the country's growing economy for gaining up-to-date professional knowledge about the financial market.
This is the second time that training of this type has been organised in the country. Previously a similar course was organised in 2007.
Stocks end flat, turnover falls
FE Report
Dhaka stocks ended flat Sunday with the turnover falling below Tk 7.0 billion (700 crore)-mark after seven weeks as the investors continued to take cautious stance ahead of Grameenphone debut due today (Monday).
The benchmark index started high, above the 3400-mark, but declined sharply by more than 50 points within the first half an hour of trade.
Then the market started to get back its rhythm riding on insurer and pharmaceutical issues but at the end of the day closed with a fractional gain.
The benchmark DSE General Index (DGEN) closed at 3383.23 with a fractional gain of 0.36 points or 0.01 per cent.
The broader DSE All Shares Price Index (DSI) shed 1.10 points or 0.03 per cent to 2832.25 while DSE-20 blue chips index lost 6.76 points or 0.29 per cent to 2278.49.
The turnover declined to Tk 6.95 billion, a decrease of 22 per cent over the previous session, its lowest since September 27 this year.
The turnover suffered heavily on the day as the investors took 'wait and see' policy ahead of the country's largest issue Grameenphone, dealers said.
Some investors remained idle Sunday to buy shares of the Grameenphone, they added.
Gainers took a strong lead over the losers as out of 228 issues traded, 126 advanced, 97 suffered losses and five remained unchanged.
After gaining good percentages during the last week, the banking sector went down with the overall sector falling by 2.51 per cent.
The majority of the non-banking financial institutions (NBFIs) edged lower while mutual funds got back its pulse after more than two weeks with the sector rising 4.01 per cent.
Energy sector ended mixed while all the companies of the Beximco group were up except Beximco Pharma.
Shares of the state-owned Padma Oil Company was the largest gainer following its impressive corporate declaration.
The company's board of directors has recommended 50 per cent cash dividend and 200 per cent stock dividend for the year 2008-2009.
Its share prices rose 42.78 per cent, making it also the top turnover leader with shares worth Tk 618.11 million changing hands.
It was followed by Jamuna Oil, Beximco, Bextex, Summit Alliance Port Ltd, DESCO, Uttara Finance and NCC Bank.
Dhaka stocks ended flat Sunday with the turnover falling below Tk 7.0 billion (700 crore)-mark after seven weeks as the investors continued to take cautious stance ahead of Grameenphone debut due today (Monday).
The benchmark index started high, above the 3400-mark, but declined sharply by more than 50 points within the first half an hour of trade.
Then the market started to get back its rhythm riding on insurer and pharmaceutical issues but at the end of the day closed with a fractional gain.
The benchmark DSE General Index (DGEN) closed at 3383.23 with a fractional gain of 0.36 points or 0.01 per cent.
The broader DSE All Shares Price Index (DSI) shed 1.10 points or 0.03 per cent to 2832.25 while DSE-20 blue chips index lost 6.76 points or 0.29 per cent to 2278.49.
The turnover declined to Tk 6.95 billion, a decrease of 22 per cent over the previous session, its lowest since September 27 this year.
The turnover suffered heavily on the day as the investors took 'wait and see' policy ahead of the country's largest issue Grameenphone, dealers said.
Some investors remained idle Sunday to buy shares of the Grameenphone, they added.
Gainers took a strong lead over the losers as out of 228 issues traded, 126 advanced, 97 suffered losses and five remained unchanged.
After gaining good percentages during the last week, the banking sector went down with the overall sector falling by 2.51 per cent.
The majority of the non-banking financial institutions (NBFIs) edged lower while mutual funds got back its pulse after more than two weeks with the sector rising 4.01 per cent.
Energy sector ended mixed while all the companies of the Beximco group were up except Beximco Pharma.
Shares of the state-owned Padma Oil Company was the largest gainer following its impressive corporate declaration.
The company's board of directors has recommended 50 per cent cash dividend and 200 per cent stock dividend for the year 2008-2009.
Its share prices rose 42.78 per cent, making it also the top turnover leader with shares worth Tk 618.11 million changing hands.
It was followed by Jamuna Oil, Beximco, Bextex, Summit Alliance Port Ltd, DESCO, Uttara Finance and NCC Bank.
GP share trading begins in both bourses today
FE Report
Share trading of the country's largest issue Grameenphone (GP) begins today (Monday) in both the bourses - Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE).
Top mobile phone operator GP raised Tk 4.86 billion (486 crore) through the sale of 69.44 million shares to the public and the same amount by selling similar stakes to institutional investors such as banks, insurances and mutual funds.
Oversubscribed by more than 3.5 times, the GP floated ordinary shares of Tk 10 each, in addition to a Tk 60 premium per share.
Out of the total of 312,501 lots of shares, local investors were allocated 277,757, a further 34,720 went to non-resident Bangladeshis and 24 to the mutual funds, according to the figures provided by the GP.
Lottery draw for the share allotment of the GP was held on October 29.
GP's initial public offering (IPO) subscriptions opened on Oct 4 and closed on Oct 8 for locals. Non-resident Bangladeshis (NRBs) had until Oct 18 to subscribe.
The Securities and Exchange Commission cleared the IPO of the GP on August 20.
Norway's telecom giant Telenor owns 62 per cent of Grameenphone, launched in 1997, while the local Grameen Telecom owns the rest.
Share trading of the country's largest issue Grameenphone (GP) begins today (Monday) in both the bourses - Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE).
Top mobile phone operator GP raised Tk 4.86 billion (486 crore) through the sale of 69.44 million shares to the public and the same amount by selling similar stakes to institutional investors such as banks, insurances and mutual funds.
Oversubscribed by more than 3.5 times, the GP floated ordinary shares of Tk 10 each, in addition to a Tk 60 premium per share.
Out of the total of 312,501 lots of shares, local investors were allocated 277,757, a further 34,720 went to non-resident Bangladeshis and 24 to the mutual funds, according to the figures provided by the GP.
Lottery draw for the share allotment of the GP was held on October 29.
GP's initial public offering (IPO) subscriptions opened on Oct 4 and closed on Oct 8 for locals. Non-resident Bangladeshis (NRBs) had until Oct 18 to subscribe.
The Securities and Exchange Commission cleared the IPO of the GP on August 20.
Norway's telecom giant Telenor owns 62 per cent of Grameenphone, launched in 1997, while the local Grameen Telecom owns the rest.
A number of insurers counting penalty for not floating IPO
S M Jahangir
A number of insurance companies are counting significant amount of financial penalty every year for having failed to float IPO.
Officials of the Chief Controller of Insurance (CCI) said more than a dozen insurers are yet to float initial public offerings (IPOs).
Most of these companies have already applied to the Securities and Exchange Commission (SEC) for permission to float IPO, they mentioned.
Some of those have reportedly failed to comply with the IPO floatation guidelines while dilly-dally of the SEC is also responsible for the delay in floating IPO by some other companies, the officials added.
According to rule each of the non-listed insurance companies requires to pay Tk 1,000 as fine per day for missing their respective IPO floatation deadlines.
Normally, the CCI realises such financial penalty at the time of renewing their operating licences, especially at the end November every year.
"No insurance company can obtain any new policy without the renewal of their operating licences," said a CCI official.
The official also informed the FE that the CCI had realised about Tk 47.40 million in fine from the errant insurers till November 31, 2008.
A total of 60 private insurance companies - 43 general and 17 life - are in operation in the country.
According to rules, the official said, the private insurance companies are required to mobilise at least 60 per cent of their required paid-up capital through IPO.
The CCI official said the floatation of IPO has been made mandatory for the insurance companies to make them operationally sound through raising their capital base.
Another important objective of the provision is to boost the country's capital market, sources said.
Presently, life insurance companies require a minimum paid-up capital of Tk 75 million to run their operation, while it has been fixed at Tk 150 million for general insurers.
But the capital base of several companies is still below the required level, they mentioned.
Besides, the authorities have already proposed raising the paid-up capital to Tk 300 million for life insurance companies and Tk 400 million for non-life insurers in the proposed Insurance Act 2009, which now awaits parliament's nod.
According the Insurance Bill, which has been placed in the House, the insurers have been given a five-year time period to enhance their capital base, it was learnt.
A number of insurance companies are counting significant amount of financial penalty every year for having failed to float IPO.
Officials of the Chief Controller of Insurance (CCI) said more than a dozen insurers are yet to float initial public offerings (IPOs).
Most of these companies have already applied to the Securities and Exchange Commission (SEC) for permission to float IPO, they mentioned.
Some of those have reportedly failed to comply with the IPO floatation guidelines while dilly-dally of the SEC is also responsible for the delay in floating IPO by some other companies, the officials added.
According to rule each of the non-listed insurance companies requires to pay Tk 1,000 as fine per day for missing their respective IPO floatation deadlines.
Normally, the CCI realises such financial penalty at the time of renewing their operating licences, especially at the end November every year.
"No insurance company can obtain any new policy without the renewal of their operating licences," said a CCI official.
The official also informed the FE that the CCI had realised about Tk 47.40 million in fine from the errant insurers till November 31, 2008.
A total of 60 private insurance companies - 43 general and 17 life - are in operation in the country.
According to rules, the official said, the private insurance companies are required to mobilise at least 60 per cent of their required paid-up capital through IPO.
The CCI official said the floatation of IPO has been made mandatory for the insurance companies to make them operationally sound through raising their capital base.
Another important objective of the provision is to boost the country's capital market, sources said.
Presently, life insurance companies require a minimum paid-up capital of Tk 75 million to run their operation, while it has been fixed at Tk 150 million for general insurers.
But the capital base of several companies is still below the required level, they mentioned.
Besides, the authorities have already proposed raising the paid-up capital to Tk 300 million for life insurance companies and Tk 400 million for non-life insurers in the proposed Insurance Act 2009, which now awaits parliament's nod.
According the Insurance Bill, which has been placed in the House, the insurers have been given a five-year time period to enhance their capital base, it was learnt.
Small investors demonstrate in city, Ctg
FE Report
The stock market small investors' forum Sunday staged demonstration in front of the SEC and the DSE, demanding implementation of the High Court's November 8 verdict related to mutual funds as well as restoration of margin loans facility.
At a press briefing at the Dhaka Reporters Unity (DRU) the shareholders of mutual funds said the SEC
banned provision of margin loans facility against the shares of 46 companies. As a result, the general shareholders have suffered a huge loss.
"Mutual funds are the life of the capital market. In the Asian stock markets mutual funds occupy twenty per cent of the market capital," the shareholders told the press briefing.
If the SEC appeals against the verdict of High Court, the general shareholders will lose their capital, they added.
After staging demonstration in front of the DSE and the SEC the shareholders gave a memorandum to the SEC chairman. In the memorandum they urged the SEC not to appeal against the High Court verdict and to continue the margin loans facility.
The shareholders of Chittagong also staged demonstration in front of the CSE on the same issues Sunday.
On November 12, the shareholders of mutual funds also handed over a memorandum to the Prime Minister's Office.
The stock market small investors' forum Sunday staged demonstration in front of the SEC and the DSE, demanding implementation of the High Court's November 8 verdict related to mutual funds as well as restoration of margin loans facility.
At a press briefing at the Dhaka Reporters Unity (DRU) the shareholders of mutual funds said the SEC
banned provision of margin loans facility against the shares of 46 companies. As a result, the general shareholders have suffered a huge loss.
"Mutual funds are the life of the capital market. In the Asian stock markets mutual funds occupy twenty per cent of the market capital," the shareholders told the press briefing.
If the SEC appeals against the verdict of High Court, the general shareholders will lose their capital, they added.
After staging demonstration in front of the DSE and the SEC the shareholders gave a memorandum to the SEC chairman. In the memorandum they urged the SEC not to appeal against the High Court verdict and to continue the margin loans facility.
The shareholders of Chittagong also staged demonstration in front of the CSE on the same issues Sunday.
On November 12, the shareholders of mutual funds also handed over a memorandum to the Prime Minister's Office.
Rupali wants govt to issue bonds against stuck-up SoE loans
Nazmul Ahsan
The largely state-owned Rupali Bank Ltd, in a bid to reviving its financial health, has requested the ministry of finance to issue interest- bearing bonds against the money the state-owned enterprises (SoEs) and other government organizations owes to it.
The ministry is yet to make a decision to this effect, finance ministry sources said.
The major part of the Rupali Bank's classified loan, amounting to Tk. 16.30 billion, as of June 30 last belongs to the public sector entities. Of the classified loans, Tk. 4.97 billion is the principal amount and the rest is accumulated interest.
Finance ministry sources said the problems, including overdue SOEs' loans, capital shortfall and manpower shortage, facing the Rupali Bank need to be solved under a package programme.
However, the finance ministry boss is taking time to give a decision on the Bank, a high official of the MoF, preferring anonymity, said.
According to the data, the now-closed Adamjee Jute Mills owes the largest amount of overdue loan, Tk. 7.58 billion, to the Rupali Bank, followed by the Bangladesh Textile Mills Corporation, Tk 1.54 billion, the Bangladesh Agriculture Development Corporation, Tk 1.23 billion, the People's Jute Mills, Tk 1.08 billion, the Bangladesh Jute Mills Corporation, Tk 930 million, the Food Ministry, Tk 484 million, the Crescent Jute Mills, Tk 376 million, the Karim Jute Mills, Tk 312 million, and the Sylhet Pulp and Paper Mills Tk 152 million.
Besides, the Khulna textile Mills owes to the Bank Tk 95.6 million, the Khulna Newsprint Mill Tk 77 million, Bangladesh Aroma Tea Ltd Tk 44.4 million, Bharat Tea Estate Tk 39 million and the National News Publication Tk. 72 million.
Rupali Bank sources said they had to give loans to the SOEs at the insistence of the MoF since the government owns 94 per cent of the Bank's shares.
The MoF at a recent meeting asked the Rupali Bank to submit its total outstanding loans with the SOEs.
"It is the finance minister who would take the final decision on the fate of the Rupali
Bank. But he remains unresponsive until now," a frustrated official in the MoF told the FE.
Issues like appointing the Chief Executive Officer, increasing its paid -up capital by issuing right shares or by other means, issuing bonds against the SOE loans and recruiting adequate manpower, are some of the issues that need to be solved urgently, officials said.
The largely state-owned Rupali Bank Ltd, in a bid to reviving its financial health, has requested the ministry of finance to issue interest- bearing bonds against the money the state-owned enterprises (SoEs) and other government organizations owes to it.
The ministry is yet to make a decision to this effect, finance ministry sources said.
The major part of the Rupali Bank's classified loan, amounting to Tk. 16.30 billion, as of June 30 last belongs to the public sector entities. Of the classified loans, Tk. 4.97 billion is the principal amount and the rest is accumulated interest.
Finance ministry sources said the problems, including overdue SOEs' loans, capital shortfall and manpower shortage, facing the Rupali Bank need to be solved under a package programme.
However, the finance ministry boss is taking time to give a decision on the Bank, a high official of the MoF, preferring anonymity, said.
According to the data, the now-closed Adamjee Jute Mills owes the largest amount of overdue loan, Tk. 7.58 billion, to the Rupali Bank, followed by the Bangladesh Textile Mills Corporation, Tk 1.54 billion, the Bangladesh Agriculture Development Corporation, Tk 1.23 billion, the People's Jute Mills, Tk 1.08 billion, the Bangladesh Jute Mills Corporation, Tk 930 million, the Food Ministry, Tk 484 million, the Crescent Jute Mills, Tk 376 million, the Karim Jute Mills, Tk 312 million, and the Sylhet Pulp and Paper Mills Tk 152 million.
Besides, the Khulna textile Mills owes to the Bank Tk 95.6 million, the Khulna Newsprint Mill Tk 77 million, Bangladesh Aroma Tea Ltd Tk 44.4 million, Bharat Tea Estate Tk 39 million and the National News Publication Tk. 72 million.
Rupali Bank sources said they had to give loans to the SOEs at the insistence of the MoF since the government owns 94 per cent of the Bank's shares.
The MoF at a recent meeting asked the Rupali Bank to submit its total outstanding loans with the SOEs.
"It is the finance minister who would take the final decision on the fate of the Rupali
Bank. But he remains unresponsive until now," a frustrated official in the MoF told the FE.
Issues like appointing the Chief Executive Officer, increasing its paid -up capital by issuing right shares or by other means, issuing bonds against the SOE loans and recruiting adequate manpower, are some of the issues that need to be solved urgently, officials said.
Sunday, November 15, 2009
DSE GENERAL INDEX & TURNOVER
15.11.09 SUN DAY
TURNOVER:▼Tk 6,951.94 million
DGEN:▲3383.23992
INDEX CHANGE:▲0.36751
ADVANCE :126
DECLINE :97
UNCHANGED:5
....................................................................................
12.11.09 THURS DAY
TURNOVER:▼Tk 8,891.85 million
DGEN:▼3382.87241
INDEX CHANGE:▼39.75735
ADVANCE :67
DECLINE :159
UNCHANGED:1
TURNOVER:▼Tk 6,951.94 million
DGEN:▲3383.23992
INDEX CHANGE:▲0.36751
ADVANCE :126
DECLINE :97
UNCHANGED:5
....................................................................................
12.11.09 THURS DAY
TURNOVER:▼Tk 8,891.85 million
DGEN:▼3382.87241
INDEX CHANGE:▼39.75735
ADVANCE :67
DECLINE :159
UNCHANGED:1
DSE NEWS HIGHLIGHTS AS ON 15.11.09 SUNDAY
TURNOVER:Today's (15.11.09) Total Trades: 109,612; Volume: 24,549,541 and Turnover: Tk. 6,951.94 million.
STANDARD CERAMICS:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit of Tk. 0.01 million with EPS of Tk. 0.02 as against net loss of Tk. (2.48) million and EPS of Tk. (4.24) for the same period of the previous year.
APEX WEAVING:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net loss of Tk. (29.26) million with EPS of Tk. (7.53) as against Tk. (28.55) million and Tk. (7.35) respectively for the same period of the previous year. Accumulated loss of the company was Tk. (223.27) m. as on 30.09.09.
The Board of Directors did not recommend any dividend for the year 2008-2009. Date of AGM: 27.12.09. Time: 11:00 AM, Venue: Factory premises of the company, Chandura, Shafipur, Gazipur. Record date: 03.12.09. The company has also reported net loss of Tk. (198.64) m. with EPS of Tk. (51.13) as on 30.06.09 as against net profit after tax of Tk. 44.08 m. with EPS of Tk. 11.35 (restated) as on 30.06.08. Accumulated loss of the company was Tk. (194.00) m. as on 30.06.09.
RAHIMA FOOD:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 0.88 million with EPS of Tk. 0.44 as against Tk. 0.64 million and Tk. 0.32 respectively for the same period of the previous year. Accumulated loss of the company was Tk. (128.09) m. as on 30.09.09.
RENWICK JAGESWAR:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit of Tk. 1.27 million with EPS of Tk. 6.35. Accumulated loss of the company was Tk. (73.44) m. as on 30.09.09.
AZADI PRINTERS:As per audited accounts as on 30.06.09, the Company has reported net profit after tax of Tk. 7.83 m. with EPS of Tk. 123.04 as against Tk. 10.05 m. and Tk. 157.96 respectively as on 30.06.08.
FUWANG CERAMICS:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 7.16 million with EPS of Tk. 2.39.
ZEAL BANGLA:As per audited accounts as on 30.06.09, the company has reported net loss of Tk. (86.11) m. with EPS of Tk. (14.35) as against Tk. (58.56) m. and Tk. (9.76) as on 30.06.08. Accumulated loss of the company was Tk. (848.83) m. as on 30.06.09.
GLAXO:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009 (January - September 2009), the Company has reported net profit after tax of Tk. 279.20 million with EPS of Tk. 23.18 as against Tk. 55.35 million and Tk. 4.59 respectively for the same period of the previous year.
ICB 1ST NRB:On the close of operation on November 10, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 294.02 per unit on the basis of current market price and Tk. 224.29 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 29,40,19,450.39 on the basis of market price and Tk. 22,42,93,434.69 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB ISLAMIC:On the close of operation on November 10, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 244.81 per unit on the basis of current market price and Tk. 209.89 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 24,48,07,338.05 on the basis of market price and Tk. 20,98,88,649.29 on the basis of cost price after considering all assets and liabilities of the Fund.
1ST PRIME MF:On the close of operation on November 10, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 13.65 per unit at current market price basis and Tk. 11.89 at cost price basis against face value of Tk. 10.00 whereas total Net Assets of the Fund stood at Tk. 27,30,66,718.13 on the basis of market price and Tk. 23,78,43,266.10 on the basis of cost price after considering all assets and liabilities of the Fund.
GULF FOODS:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net loss of Tk. (0.20) million with EPS of Tk. (0.52) as against net profit of Tk. 0.12 million and EPS of Tk. 0.32 for the same period of the previous year.
ICB 2ND NRB:On the close of operation on November 10, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 143.34 per unit on the basis of current market price and Tk. 129.14 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 143,33,76,842.41 on the basis of market price and Tk. 129,13,98,733.99 on the basis of cost price after considering all assets and liabilities of the Fund.
Expire Date: 2009-11-15
ICB AMCL 2ND:On the close of operation on November 10, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 98.17 per unit on the basis of current market price and Tk. 99.90 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 49,08,41,065.68 on the basis of market price and Tk. 49,94,80,039.33 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB AMCL 1ST:On the close of operation on November 10, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 415.34 per unit on the basis of current market price and Tk. 287.95 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 41,53,39,294.75 on the basis of market price and Tk. 28,79,46,531.77 on the basis of cost price after considering all assets and liabilities of the Fund.
GRAMEENS 2:On the close of operation on November 12, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 14.16 per unit at current market price basis and Tk. 11.74 at cost price basis against face value of Tk. 10.00 whereas Net Assets of the Fund stood at Tk. 1,769,814,956.00
Expire Date: 2009-11-15
GRAMEEN 1:On the close of operation on November 12, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 39.47 per unit at current market price basis and Tk. 21.00 at cost price basis against face value of Tk. 10.00 whereas Net Assets of the Fund stood at Tk. 670,924,369.00
AIMS 1ST MF:On the close of operation on November 12, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 3.71 per unit at current market price basis and Tk. 2.07 at cost price basis against face value of Tk. 1.00 whereas Net Assets of the Fund stood at Tk. 622,718,431.00
AL-HAJTEX:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net loss of Tk. (0.05) million with EPS of Tk. (0.007) as against Tk. (0.01) million and Tk. (0.002) respectively for the same period of the previous year. There was no turnover for the 1st quarter ended on 30th September 2009. As per footnote of the said financial statements of the company, no depreciation has been charged during this quarter on fixed asset as the mills remained laid off from April 2009 and onward. No interest has been charged on cash credit limit and long term loan during this quarter as the Bank did not allow drawing against C.C. Limit as a result mills forced declare lay off from April 2009 and onward.
YOUSUF FLOUR:As per audited accounts as on 30.06.09, the company has reported profit after tax of Tk. 0.39 m. with EPS of Tk. 0.64 as against Tk. 0.38 m. and Tk. 0.62 respectively as on 30.06.08. Accumulated loss of the company was Tk. (5.76) m. as on 30.06.09.
Expire Date: 2009-11-15
LIBRA INFUSON:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 1.52 million with EPS of Tk. 12.11, Net Asset Value (NAV) of Tk. 87.77 million and Net Operating Cash Flow per share of Tk. 23.05 for the 1st quarter ended on 30th September 2009.
MIDAS FINANCE:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 14.91 million with EPS of Tk. 4.23 as against Tk. 12.08 million and Tk. 3.43 (restated) respectively for the same period of the previous year.
NATIONAL POLYMAR:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 2.51 million with EPS of Tk. 3.13 as against Tk. 2.23 million and Tk. 8.30 respectively for the same period of the previous year.
DACCA DYEING:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July to September), the Company has reported Net profit after tax of Tk. 5.15 million with EPS of Tk. 0.11 (considering post IPO paid-up capital) as against Tk. 6.70 million and Tk. 0.14 respectively for the same period of the previous year.
ATLAS BANGLA:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 39.83 million with EPS of Tk. 3.98 as against Tk. 30.88 million and Tk. 3.09 respectively for the same period of the previous year.
PRIME BANK:The Bank has informed that the Board of Directors has decided that "Prime Bank Limited will form a subsidiary company for its Merchant Banking & Investment Division under the name and style 'Prime Bank Investment Limited' subject to approval from Regulatory Authorities."
DESCO:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 374.46 million with EPS of Tk. 28.05 as against Tk. 367.13 million and Tk. 27.51 (restated) respectively for the same period of the previous year.
PADMA OIL:The Board of Directors has recommended cash dividend @ 50% (i.e. Tk. 5.00 per share) and stock dividend @ 200% (i.e. 2 bonus shares for every 1 share held) for the year 2008-2009. Date of AGM: 23.01.10, Time: 11:30 AM, Venue: "Main Installation", Guptakhal, Patenga, Chittagong. Record Date: 07.12.09. The company has also reported Earning Per share (EPS) of Tk. 45.88, Net Asset Value (NAV) per share of Tk. 185.14 and Net Operating Cash Flow per share of Tk. 0.80 for the year ended on June 30, 2009. The Board has also decided to increase the Authorized Capital from Tk. 10.00 crore to Tk. 100.00 crore and accordingly relevant clauses of the Memorandum of Association and Articles of Association of the Company will be amended subject to the approval from regulatory authority and the Shareholders in the forthcoming AGM.
STANDARD CERAMICS:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit of Tk. 0.01 million with EPS of Tk. 0.02 as against net loss of Tk. (2.48) million and EPS of Tk. (4.24) for the same period of the previous year.
APEX WEAVING:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net loss of Tk. (29.26) million with EPS of Tk. (7.53) as against Tk. (28.55) million and Tk. (7.35) respectively for the same period of the previous year. Accumulated loss of the company was Tk. (223.27) m. as on 30.09.09.
The Board of Directors did not recommend any dividend for the year 2008-2009. Date of AGM: 27.12.09. Time: 11:00 AM, Venue: Factory premises of the company, Chandura, Shafipur, Gazipur. Record date: 03.12.09. The company has also reported net loss of Tk. (198.64) m. with EPS of Tk. (51.13) as on 30.06.09 as against net profit after tax of Tk. 44.08 m. with EPS of Tk. 11.35 (restated) as on 30.06.08. Accumulated loss of the company was Tk. (194.00) m. as on 30.06.09.
RAHIMA FOOD:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 0.88 million with EPS of Tk. 0.44 as against Tk. 0.64 million and Tk. 0.32 respectively for the same period of the previous year. Accumulated loss of the company was Tk. (128.09) m. as on 30.09.09.
RENWICK JAGESWAR:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit of Tk. 1.27 million with EPS of Tk. 6.35. Accumulated loss of the company was Tk. (73.44) m. as on 30.09.09.
AZADI PRINTERS:As per audited accounts as on 30.06.09, the Company has reported net profit after tax of Tk. 7.83 m. with EPS of Tk. 123.04 as against Tk. 10.05 m. and Tk. 157.96 respectively as on 30.06.08.
FUWANG CERAMICS:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 7.16 million with EPS of Tk. 2.39.
ZEAL BANGLA:As per audited accounts as on 30.06.09, the company has reported net loss of Tk. (86.11) m. with EPS of Tk. (14.35) as against Tk. (58.56) m. and Tk. (9.76) as on 30.06.08. Accumulated loss of the company was Tk. (848.83) m. as on 30.06.09.
GLAXO:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009 (January - September 2009), the Company has reported net profit after tax of Tk. 279.20 million with EPS of Tk. 23.18 as against Tk. 55.35 million and Tk. 4.59 respectively for the same period of the previous year.
ICB 1ST NRB:On the close of operation on November 10, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 294.02 per unit on the basis of current market price and Tk. 224.29 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 29,40,19,450.39 on the basis of market price and Tk. 22,42,93,434.69 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB ISLAMIC:On the close of operation on November 10, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 244.81 per unit on the basis of current market price and Tk. 209.89 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 24,48,07,338.05 on the basis of market price and Tk. 20,98,88,649.29 on the basis of cost price after considering all assets and liabilities of the Fund.
1ST PRIME MF:On the close of operation on November 10, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 13.65 per unit at current market price basis and Tk. 11.89 at cost price basis against face value of Tk. 10.00 whereas total Net Assets of the Fund stood at Tk. 27,30,66,718.13 on the basis of market price and Tk. 23,78,43,266.10 on the basis of cost price after considering all assets and liabilities of the Fund.
GULF FOODS:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net loss of Tk. (0.20) million with EPS of Tk. (0.52) as against net profit of Tk. 0.12 million and EPS of Tk. 0.32 for the same period of the previous year.
ICB 2ND NRB:On the close of operation on November 10, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 143.34 per unit on the basis of current market price and Tk. 129.14 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 143,33,76,842.41 on the basis of market price and Tk. 129,13,98,733.99 on the basis of cost price after considering all assets and liabilities of the Fund.
Expire Date: 2009-11-15
ICB AMCL 2ND:On the close of operation on November 10, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 98.17 per unit on the basis of current market price and Tk. 99.90 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 49,08,41,065.68 on the basis of market price and Tk. 49,94,80,039.33 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB AMCL 1ST:On the close of operation on November 10, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 415.34 per unit on the basis of current market price and Tk. 287.95 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 41,53,39,294.75 on the basis of market price and Tk. 28,79,46,531.77 on the basis of cost price after considering all assets and liabilities of the Fund.
GRAMEENS 2:On the close of operation on November 12, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 14.16 per unit at current market price basis and Tk. 11.74 at cost price basis against face value of Tk. 10.00 whereas Net Assets of the Fund stood at Tk. 1,769,814,956.00
Expire Date: 2009-11-15
GRAMEEN 1:On the close of operation on November 12, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 39.47 per unit at current market price basis and Tk. 21.00 at cost price basis against face value of Tk. 10.00 whereas Net Assets of the Fund stood at Tk. 670,924,369.00
AIMS 1ST MF:On the close of operation on November 12, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 3.71 per unit at current market price basis and Tk. 2.07 at cost price basis against face value of Tk. 1.00 whereas Net Assets of the Fund stood at Tk. 622,718,431.00
AL-HAJTEX:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net loss of Tk. (0.05) million with EPS of Tk. (0.007) as against Tk. (0.01) million and Tk. (0.002) respectively for the same period of the previous year. There was no turnover for the 1st quarter ended on 30th September 2009. As per footnote of the said financial statements of the company, no depreciation has been charged during this quarter on fixed asset as the mills remained laid off from April 2009 and onward. No interest has been charged on cash credit limit and long term loan during this quarter as the Bank did not allow drawing against C.C. Limit as a result mills forced declare lay off from April 2009 and onward.
YOUSUF FLOUR:As per audited accounts as on 30.06.09, the company has reported profit after tax of Tk. 0.39 m. with EPS of Tk. 0.64 as against Tk. 0.38 m. and Tk. 0.62 respectively as on 30.06.08. Accumulated loss of the company was Tk. (5.76) m. as on 30.06.09.
Expire Date: 2009-11-15
LIBRA INFUSON:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 1.52 million with EPS of Tk. 12.11, Net Asset Value (NAV) of Tk. 87.77 million and Net Operating Cash Flow per share of Tk. 23.05 for the 1st quarter ended on 30th September 2009.
MIDAS FINANCE:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 14.91 million with EPS of Tk. 4.23 as against Tk. 12.08 million and Tk. 3.43 (restated) respectively for the same period of the previous year.
NATIONAL POLYMAR:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 2.51 million with EPS of Tk. 3.13 as against Tk. 2.23 million and Tk. 8.30 respectively for the same period of the previous year.
DACCA DYEING:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July to September), the Company has reported Net profit after tax of Tk. 5.15 million with EPS of Tk. 0.11 (considering post IPO paid-up capital) as against Tk. 6.70 million and Tk. 0.14 respectively for the same period of the previous year.
ATLAS BANGLA:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 39.83 million with EPS of Tk. 3.98 as against Tk. 30.88 million and Tk. 3.09 respectively for the same period of the previous year.
PRIME BANK:The Bank has informed that the Board of Directors has decided that "Prime Bank Limited will form a subsidiary company for its Merchant Banking & Investment Division under the name and style 'Prime Bank Investment Limited' subject to approval from Regulatory Authorities."
DESCO:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July - September 2009), the Company has reported net profit after tax of Tk. 374.46 million with EPS of Tk. 28.05 as against Tk. 367.13 million and Tk. 27.51 (restated) respectively for the same period of the previous year.
PADMA OIL:The Board of Directors has recommended cash dividend @ 50% (i.e. Tk. 5.00 per share) and stock dividend @ 200% (i.e. 2 bonus shares for every 1 share held) for the year 2008-2009. Date of AGM: 23.01.10, Time: 11:30 AM, Venue: "Main Installation", Guptakhal, Patenga, Chittagong. Record Date: 07.12.09. The company has also reported Earning Per share (EPS) of Tk. 45.88, Net Asset Value (NAV) per share of Tk. 185.14 and Net Operating Cash Flow per share of Tk. 0.80 for the year ended on June 30, 2009. The Board has also decided to increase the Authorized Capital from Tk. 10.00 crore to Tk. 100.00 crore and accordingly relevant clauses of the Memorandum of Association and Articles of Association of the Company will be amended subject to the approval from regulatory authority and the Shareholders in the forthcoming AGM.
GP shares debut Monday amid high enthusiasm
FE REPORT:
**Concern over credit-sapping measures
Kayes M Sohel
Shares of Grameenphone will make debut in the country's capital market Monday amid mounting interest among the investors despite efforts by the securities regulator to curb unbridled speculation.
The country's top mobile phone operator will be the largest firm to float shares in the Dhaka and Chittagong stock exchanges, with its Tk 4.86 billion Initial Public
Offering being over-subscribed by more than 3.5 times.
Analysts had predicted that the GP shares --- each valued at Tk 70 including Tk 60 premium --- would be traded several times higher than its subscription value once it hits secondary market due to its strong fundamentals and the company being the largest private firm in the country.
But after a series of market-cooling steps by the Securities and Exchange Commission (SEC), they are now skeptical whether the GP's much-talked about debut can generate the same sort of enthusiasm that it created last month when thousands queued up to deposit subscription money.
"It's arriving in the market amid a negative sentiment after a long bull run," a top analyst said, requesting not to be named. "But still, with its sheer size the GP shares will influence the market dynamics," he said.
The benchmark DGEN index of the Dhaka Stock Exchange nose-dived more than one per cent on Thursday --- the biggest single-day drop in four months --- as investors sold off their less-appealing shares to prepare for GP's entry.
The decline followed a number of record-making bull runs by the main indices as the investors kept their confidence in the market despite growing signs that the economy has been badly hit by the global recession.
Another analyst said the SEC's ban on financing against new and risky securities last month could dissipate interest for GP's shares, as most of the investors rely on bank financing to make bigger purchase.
"The SEC's ban of financing against new securities and a split verdict on the mutual fund litigation might create a completely different equation," he told the FE.
"The SEC curbs will limit purchasing capacity of the small investors," said Moin Al-Kasem, managing director and chief executive officer of the PFI Asset Management Company Ltd.
Grameenphone which accounts for some 47 percent of the country's 50 million plus mobile phone users has sold 69.44 million shares to ordinary investors and raised the same amount by selling similar stakes to local institutions such as banks, insurances and mutual funds.
Local investors were allocated 277,757 lots of shares through lottery, 34,720 lots went to non-resident Bangladeshis and 24 to the mutual funds, according to the figures provided by the GP.
Central Depository Bangladesh Limited (CDBL), which maintains electronic share accounts, said at least 250,000 new Beneficiary Owners (BO) accounts were opened targetting GP's IPO subscription.
Moin of PFI Asset Management said that enthusiasm for GP's shares remained intact among the ordinary investors, although the SEC wants to see it making an uneventful landing in the trading floors.
"It is the biggest IPO in the country's history and almost every investor is keenly waiting to see how GP debuts in the market," he added.
Sajjadur Rahman, a small investor who applied for four GP lots but missed out in the lottery, told the FE he has set aside a big chunk of his fund to buy GP shares in the secondary market.
"The last three days I talked to several brokers to find out the best buying price for GP shares. But unlike in the past, none has any clue as to what would be its opening day price," he said.
Ahemdul Karim, a banker who got three GP primary share lots in the lottery, wants to sell the prized stocks in the first week of trading as he is planning to celebrate Eid in Malaysia.
"I am confident I can sell GP shares at least five times more than its subscription price. A lot of shares had traded five-six times more than their IPO price on the opening day," he said.
The debut of GP shares is being hailed as a red-letter day in the country's capital market history although its IPO process was plagued by doubts as to whether local investors would have the appetite for such a huge number of shares.
But instead of creating panic and confusion, the GP IPO has been greeted by the general investors. DSE officials have said GP listing would stabilise the market, which has been hit by wild speculations in the past.
"There were a lot of complaints that this market is very shallow and may not be capable of absorbing big issues, which has already been proved wrong," DSE president M Rakibur Rahman said.
The GP is 62 per cent owned by Norway's telecom giant Telenor and the rest by Grameen Telecom, a sister company of Nobel winning micro financing giant Grameen Bank.
Grameenphone is the most profitable mobile phone operator in the country, with its revenue expecting to hit billion dollars mark at the end of the year.
Its average revenue per user (ARPU) --- the best gauge of profitability of a phone operator --- increased by six per cent in the third quarter compared to the same period last year, mainly as a result of a raised tariff floor.
The GP first announced to float shares in late July 2008, but in October that year the company delayed the IPO because of the global economic downturn.
**Concern over credit-sapping measures
Kayes M Sohel
Shares of Grameenphone will make debut in the country's capital market Monday amid mounting interest among the investors despite efforts by the securities regulator to curb unbridled speculation.
The country's top mobile phone operator will be the largest firm to float shares in the Dhaka and Chittagong stock exchanges, with its Tk 4.86 billion Initial Public
Offering being over-subscribed by more than 3.5 times.
Analysts had predicted that the GP shares --- each valued at Tk 70 including Tk 60 premium --- would be traded several times higher than its subscription value once it hits secondary market due to its strong fundamentals and the company being the largest private firm in the country.
But after a series of market-cooling steps by the Securities and Exchange Commission (SEC), they are now skeptical whether the GP's much-talked about debut can generate the same sort of enthusiasm that it created last month when thousands queued up to deposit subscription money.
"It's arriving in the market amid a negative sentiment after a long bull run," a top analyst said, requesting not to be named. "But still, with its sheer size the GP shares will influence the market dynamics," he said.
The benchmark DGEN index of the Dhaka Stock Exchange nose-dived more than one per cent on Thursday --- the biggest single-day drop in four months --- as investors sold off their less-appealing shares to prepare for GP's entry.
The decline followed a number of record-making bull runs by the main indices as the investors kept their confidence in the market despite growing signs that the economy has been badly hit by the global recession.
Another analyst said the SEC's ban on financing against new and risky securities last month could dissipate interest for GP's shares, as most of the investors rely on bank financing to make bigger purchase.
"The SEC's ban of financing against new securities and a split verdict on the mutual fund litigation might create a completely different equation," he told the FE.
"The SEC curbs will limit purchasing capacity of the small investors," said Moin Al-Kasem, managing director and chief executive officer of the PFI Asset Management Company Ltd.
Grameenphone which accounts for some 47 percent of the country's 50 million plus mobile phone users has sold 69.44 million shares to ordinary investors and raised the same amount by selling similar stakes to local institutions such as banks, insurances and mutual funds.
Local investors were allocated 277,757 lots of shares through lottery, 34,720 lots went to non-resident Bangladeshis and 24 to the mutual funds, according to the figures provided by the GP.
Central Depository Bangladesh Limited (CDBL), which maintains electronic share accounts, said at least 250,000 new Beneficiary Owners (BO) accounts were opened targetting GP's IPO subscription.
Moin of PFI Asset Management said that enthusiasm for GP's shares remained intact among the ordinary investors, although the SEC wants to see it making an uneventful landing in the trading floors.
"It is the biggest IPO in the country's history and almost every investor is keenly waiting to see how GP debuts in the market," he added.
Sajjadur Rahman, a small investor who applied for four GP lots but missed out in the lottery, told the FE he has set aside a big chunk of his fund to buy GP shares in the secondary market.
"The last three days I talked to several brokers to find out the best buying price for GP shares. But unlike in the past, none has any clue as to what would be its opening day price," he said.
Ahemdul Karim, a banker who got three GP primary share lots in the lottery, wants to sell the prized stocks in the first week of trading as he is planning to celebrate Eid in Malaysia.
"I am confident I can sell GP shares at least five times more than its subscription price. A lot of shares had traded five-six times more than their IPO price on the opening day," he said.
The debut of GP shares is being hailed as a red-letter day in the country's capital market history although its IPO process was plagued by doubts as to whether local investors would have the appetite for such a huge number of shares.
But instead of creating panic and confusion, the GP IPO has been greeted by the general investors. DSE officials have said GP listing would stabilise the market, which has been hit by wild speculations in the past.
"There were a lot of complaints that this market is very shallow and may not be capable of absorbing big issues, which has already been proved wrong," DSE president M Rakibur Rahman said.
The GP is 62 per cent owned by Norway's telecom giant Telenor and the rest by Grameen Telecom, a sister company of Nobel winning micro financing giant Grameen Bank.
Grameenphone is the most profitable mobile phone operator in the country, with its revenue expecting to hit billion dollars mark at the end of the year.
Its average revenue per user (ARPU) --- the best gauge of profitability of a phone operator --- increased by six per cent in the third quarter compared to the same period last year, mainly as a result of a raised tariff floor.
The GP first announced to float shares in late July 2008, but in October that year the company delayed the IPO because of the global economic downturn.
Bureaucracy blamed for barring SoEs from offloading shares
Khawaza Main Uddin
Bureaucracy is sabotaging the government’s move to offload shares of state owned enterprise or to float new shares to raise funds from stock market for energy sector and infrastructure building, a workshop was told on Saturday.
The country needs massive investments in addressing infrastructure deficiency and power crisis and the stock market has huge demand of additional shares — a situation which has been described as ideally suitable for mobilising resources instead of depending on foreign loans and giving more depth to the share market.
In such a context, present and former stock market authorities recommended that the political decision makers should act firmly on motivating the government officials to play a catalyst role in making people share holders of public entities and meeting increasing demand for shares in the market.
‘The bureaucracy has either lack of coordination or is sabotaging the government move to raise funds from the capital market. It is really frustrating that things do not move here in the government,’ the president of Dhaka Stock Exchange, Rakibur Rahman, said at the workshop on the capital market organised by the Economic Reporters Forum.
He referred to causing delay by officials concerned until intervention by the state minister for energy in circulating an energy ministry decision to assign a high-power committee for suggesting ways and means to raise money from the share market for the energy sector. ‘If this is the condition, how will this government be dynamic?’ Rahman asked.
AB Mirza Azizul Islam, former finance and planning adviser and chairman of Securities and Exchange Commission, pointed out that there was serious lack of understanding and motivation about raising money from the capital market.
‘If the policymakers can show firmness about the decision of offloading government shares, the bureaucracy will not be able to thwart the move,’ he said emphasising the importance of motivating them and creating favourable opinion in this regard.
Expressing conviction that the capital market in Bangladesh had much higher capacity than the current one to absorb more shares, both Mirza Aziz and Rahman cited the example of higher demand of Gremeenphone shares and said only the public sector shares could fulfil the market demand and promote the small investors. There are 2.2 million small investors in the country’s stock market.
The DSE president appreciated the prime minister’s willingness to generate domestic resources for building infrastructure and solving power and energy sector problems and also urged upon the government to take quick decision to inject more shares to the stock market.
‘Fundraising from the capital market is more cost-effective than taking loans from banks for investment. The lack of transparency in corporate governance and a culture of defaulting loans discourage entrepreneurs from going to stock market,’ Mirza Aziz said.
The government can raise funds up to Tk 5,000 crore by offloading public sector shares even keeping majority at its hand, said Abu Ahmed, an economist and expert on capital market.
He named Bangladesh Telecommunications Company Limited, Biman Bangladesh Airlines Ltd, nationalised oil companies and corporatised public sector banks for offloading shares. ‘Padma Bridge and sea and airport can also be listed with the stock market for making our people shareholders of public sector properties,’ the economist added.
He expressed his surprise at the strength of the bureaucracy to disturb the government’s moves and said, ‘You can make some of those who would be found involved in such activities OSDs [officers on special duty] to give them message not to repeat it,’ he said.
Abu Ahmed further urged the government to compel foreign companies such as Unilever to list with the share market for sharing their profits with the Bangladeshi citizens. ‘Why will they not make it in Bangladesh when they did it in India and Pakistan? They cannot be allowed to go unregulated and non-transparent,’ he insisted.
Bureaucracy is sabotaging the government’s move to offload shares of state owned enterprise or to float new shares to raise funds from stock market for energy sector and infrastructure building, a workshop was told on Saturday.
The country needs massive investments in addressing infrastructure deficiency and power crisis and the stock market has huge demand of additional shares — a situation which has been described as ideally suitable for mobilising resources instead of depending on foreign loans and giving more depth to the share market.
In such a context, present and former stock market authorities recommended that the political decision makers should act firmly on motivating the government officials to play a catalyst role in making people share holders of public entities and meeting increasing demand for shares in the market.
‘The bureaucracy has either lack of coordination or is sabotaging the government move to raise funds from the capital market. It is really frustrating that things do not move here in the government,’ the president of Dhaka Stock Exchange, Rakibur Rahman, said at the workshop on the capital market organised by the Economic Reporters Forum.
He referred to causing delay by officials concerned until intervention by the state minister for energy in circulating an energy ministry decision to assign a high-power committee for suggesting ways and means to raise money from the share market for the energy sector. ‘If this is the condition, how will this government be dynamic?’ Rahman asked.
AB Mirza Azizul Islam, former finance and planning adviser and chairman of Securities and Exchange Commission, pointed out that there was serious lack of understanding and motivation about raising money from the capital market.
‘If the policymakers can show firmness about the decision of offloading government shares, the bureaucracy will not be able to thwart the move,’ he said emphasising the importance of motivating them and creating favourable opinion in this regard.
Expressing conviction that the capital market in Bangladesh had much higher capacity than the current one to absorb more shares, both Mirza Aziz and Rahman cited the example of higher demand of Gremeenphone shares and said only the public sector shares could fulfil the market demand and promote the small investors. There are 2.2 million small investors in the country’s stock market.
The DSE president appreciated the prime minister’s willingness to generate domestic resources for building infrastructure and solving power and energy sector problems and also urged upon the government to take quick decision to inject more shares to the stock market.
‘Fundraising from the capital market is more cost-effective than taking loans from banks for investment. The lack of transparency in corporate governance and a culture of defaulting loans discourage entrepreneurs from going to stock market,’ Mirza Aziz said.
The government can raise funds up to Tk 5,000 crore by offloading public sector shares even keeping majority at its hand, said Abu Ahmed, an economist and expert on capital market.
He named Bangladesh Telecommunications Company Limited, Biman Bangladesh Airlines Ltd, nationalised oil companies and corporatised public sector banks for offloading shares. ‘Padma Bridge and sea and airport can also be listed with the stock market for making our people shareholders of public sector properties,’ the economist added.
He expressed his surprise at the strength of the bureaucracy to disturb the government’s moves and said, ‘You can make some of those who would be found involved in such activities OSDs [officers on special duty] to give them message not to repeat it,’ he said.
Abu Ahmed further urged the government to compel foreign companies such as Unilever to list with the share market for sharing their profits with the Bangladeshi citizens. ‘Why will they not make it in Bangladesh when they did it in India and Pakistan? They cannot be allowed to go unregulated and non-transparent,’ he insisted.
Frequent SEC intervention in share market criticized
FE Report
***Experts lament delay in offloading SoEs' shares
FE Report
Former Finance Adviser AB Mirza Md Azizul Islam criticised Saturday the role of the Securities and Exchange Commission (SEC) for its excessive intervention on the capital market. He also blasted the government for being indifferent to the need for offloading shares of the corporatised state-owned organisations.
Mirza Aziz termed the present market scenario 'resilient' and sought punitive actions against the individuals involved in the share market scam in 1996.
"The SEC should not intervene on the market regularly," Aziz said as the Chief Guest while inaugurating a
'Orientation Course on Capital Market for Economic Reporters,' held at the Dhaka Stock Exchange (DSE) Training Academy.
"The mechanism for market intervention, if considered inevitable, should be finalized in consultation with stakeholders to avert controversy and choose the right direction,' Aziz, also a former SEC Chairman added.
The day long workshop was jointly organised by the Economic Reporters' Forum (ERF) and the DSE Training Academy. DSE President MD Rakibur Rahman, Professor Abu Ahmed, ERF President Nazmul Ahsan, Executive Directors of SEC Anwarul Kabir Bhuiyan and Farhad Ahmed and ERF General Secretary Sajjad Alam Khan spoke at the occasion.
Mirza Aziz said the market should act on its own without any intervention by the regulatory agency. Regular intervention by the watchdog body harms the normal growth of the market, he added.
Criticising the government, the former finance adviser said the government has no clear idea of the capital market and this has resulted in indifference on the part bureaucrats to the offloading of the shares of the state-owned corporatised bodies.
"I can say for sure that the government has no clear idea about the ways of vitalizing the capital market,'' the former finance adviser said.
"Three state-owned banks, Biman Bangladesh Airlines and BTCL were corporatised during my period as finance adviser so that a considerable portion of their shares are offloaded into the share market,'
"No progress has so far been made to this effect though the incumbent government took the office about one year back.''
Mirza Aziz said the long term investment if made through bank loans would carry potential risks as majority of banks deposits are short-term in nature, which makes maturity mismatch.
He said the potential issuers prefer to bank loans as such loans has no accountability.
Responding to a query, Mirza Aziz admitted that some government officials are protesting the move to offload shares of state-owned enterprises (SOEs) to protect their 'vested' interests.
But they should be aware that they could continue enjoying some privileges even after offloading share of the SOEs, he said.
"A firm intention of the policymakers is necessary to offload SoE shares in the capital market and move forward the country's economy," he added.
The DSE President said the excessive intervention and directives by regulatory authority have been hampering the growth of the capital market.
Rakib said the government is suffering from the lack of coordination in offloading shares of state-owned enterprises and collecting funds from the share market to construct large infrastructure projects.
A section of bureaucrats not having even a minimum knowledge of capital market is acting as barriers to the growth of share market, overtly or covertly, he maintained.
He urged the authorities concerned to settle the litigation at the earliest, terming the Mutual Fund as the important element of the capital market.
Professor Abu Ahmed said both the government and bureaucrats must have clear desire to strengthen the capital market through offloading the shares of government-owned institutions.
Criticising the role of SEC, the capital market analyst said the top bosses of listed companies bracketed in 'Z' category use luxury vehicles, while declaring their companies as loss making.
He said the 'placement business' has emerged in the country in recent times, which should be stopped without further delay.
Anwarul Kabir Bhuiyan said a group of people is spreading the rumour that the face value of issues would be made at Tk 10. This is not true, he added.
"The SEC has not taken any such decision. The issue was only recommended by a body. Its implementation will be a lengthy process and we have many things to examine towards implementing the recommendation," Kabir told the meeting.
A total of 50 ERF members took part at the day-long workshop.
***Experts lament delay in offloading SoEs' shares
FE Report
Former Finance Adviser AB Mirza Md Azizul Islam criticised Saturday the role of the Securities and Exchange Commission (SEC) for its excessive intervention on the capital market. He also blasted the government for being indifferent to the need for offloading shares of the corporatised state-owned organisations.
Mirza Aziz termed the present market scenario 'resilient' and sought punitive actions against the individuals involved in the share market scam in 1996.
"The SEC should not intervene on the market regularly," Aziz said as the Chief Guest while inaugurating a
'Orientation Course on Capital Market for Economic Reporters,' held at the Dhaka Stock Exchange (DSE) Training Academy.
"The mechanism for market intervention, if considered inevitable, should be finalized in consultation with stakeholders to avert controversy and choose the right direction,' Aziz, also a former SEC Chairman added.
The day long workshop was jointly organised by the Economic Reporters' Forum (ERF) and the DSE Training Academy. DSE President MD Rakibur Rahman, Professor Abu Ahmed, ERF President Nazmul Ahsan, Executive Directors of SEC Anwarul Kabir Bhuiyan and Farhad Ahmed and ERF General Secretary Sajjad Alam Khan spoke at the occasion.
Mirza Aziz said the market should act on its own without any intervention by the regulatory agency. Regular intervention by the watchdog body harms the normal growth of the market, he added.
Criticising the government, the former finance adviser said the government has no clear idea of the capital market and this has resulted in indifference on the part bureaucrats to the offloading of the shares of the state-owned corporatised bodies.
"I can say for sure that the government has no clear idea about the ways of vitalizing the capital market,'' the former finance adviser said.
"Three state-owned banks, Biman Bangladesh Airlines and BTCL were corporatised during my period as finance adviser so that a considerable portion of their shares are offloaded into the share market,'
"No progress has so far been made to this effect though the incumbent government took the office about one year back.''
Mirza Aziz said the long term investment if made through bank loans would carry potential risks as majority of banks deposits are short-term in nature, which makes maturity mismatch.
He said the potential issuers prefer to bank loans as such loans has no accountability.
Responding to a query, Mirza Aziz admitted that some government officials are protesting the move to offload shares of state-owned enterprises (SOEs) to protect their 'vested' interests.
But they should be aware that they could continue enjoying some privileges even after offloading share of the SOEs, he said.
"A firm intention of the policymakers is necessary to offload SoE shares in the capital market and move forward the country's economy," he added.
The DSE President said the excessive intervention and directives by regulatory authority have been hampering the growth of the capital market.
Rakib said the government is suffering from the lack of coordination in offloading shares of state-owned enterprises and collecting funds from the share market to construct large infrastructure projects.
A section of bureaucrats not having even a minimum knowledge of capital market is acting as barriers to the growth of share market, overtly or covertly, he maintained.
He urged the authorities concerned to settle the litigation at the earliest, terming the Mutual Fund as the important element of the capital market.
Professor Abu Ahmed said both the government and bureaucrats must have clear desire to strengthen the capital market through offloading the shares of government-owned institutions.
Criticising the role of SEC, the capital market analyst said the top bosses of listed companies bracketed in 'Z' category use luxury vehicles, while declaring their companies as loss making.
He said the 'placement business' has emerged in the country in recent times, which should be stopped without further delay.
Anwarul Kabir Bhuiyan said a group of people is spreading the rumour that the face value of issues would be made at Tk 10. This is not true, he added.
"The SEC has not taken any such decision. The issue was only recommended by a body. Its implementation will be a lengthy process and we have many things to examine towards implementing the recommendation," Kabir told the meeting.
A total of 50 ERF members took part at the day-long workshop.
Saturday, November 14, 2009
DSE LAST WEEK (08.11.09 TO 12.11.09)
08.11.09 SUN DAY
TURNOVER:▲Tk 10,202.49 million
DGEN:▼3411.48159
INDEX CHANGE:▼2.0455
ADVANCE :71
DECLINE :165
UNCHANGED:1
....................................................................................
09.11.09 MON DAY
TURNOVER:▼Tk 9,307.53 million
DGEN:▲3428.89755
INDEX CHANGE:▲17.41596
ADVANCE :92
DECLINE :143
UNCHANGED:1
.....................................................................................
10.11.09 TUES DAY
TURNOVER:▼Tk 8,671.57 million
DGEN:▲3446.61914
INDEX CHANGE:▲17.72159
ADVANCE :114
DECLINE :115
UNCHANGED:3
.....................................................................................
11.11.09 WEDNESDAY
TURNOVER:▲Tk 10,879.27 million
DGEN:▼3422.62976
INDEX CHANGE:▼23.98938
ADVANCE :94
DECLINE :139
UNCHANGED:0
.....................................................................................
12.11.09 THURS DAY
TURNOVER:▼Tk 8,891.85 million
DGEN:▼3382.87241
INDEX CHANGE:▼39.75735
ADVANCE :67
DECLINE :159
UNCHANGED:1
TURNOVER:▲Tk 10,202.49 million
DGEN:▼3411.48159
INDEX CHANGE:▼2.0455
ADVANCE :71
DECLINE :165
UNCHANGED:1
....................................................................................
09.11.09 MON DAY
TURNOVER:▼Tk 9,307.53 million
DGEN:▲3428.89755
INDEX CHANGE:▲17.41596
ADVANCE :92
DECLINE :143
UNCHANGED:1
.....................................................................................
10.11.09 TUES DAY
TURNOVER:▼Tk 8,671.57 million
DGEN:▲3446.61914
INDEX CHANGE:▲17.72159
ADVANCE :114
DECLINE :115
UNCHANGED:3
.....................................................................................
11.11.09 WEDNESDAY
TURNOVER:▲Tk 10,879.27 million
DGEN:▼3422.62976
INDEX CHANGE:▼23.98938
ADVANCE :94
DECLINE :139
UNCHANGED:0
.....................................................................................
12.11.09 THURS DAY
TURNOVER:▼Tk 8,891.85 million
DGEN:▼3382.87241
INDEX CHANGE:▼39.75735
ADVANCE :67
DECLINE :159
UNCHANGED:1
Dhaka stocks hit by steepest single-day fall in four months
FE Report
Dhaka stocks Thursday saw the biggest single-day fall in more than four months amid protests by investors, as retailers took wait-and-see approach ahead of the debut of the country's largest initial public offering, Grameenphone.
The benchmark DSE General Index (DGEN) dropped some 60 points across the board when the trading began, sending scores of angry investors to the streets, but made some recoveries in late hours, led by banking shares.
The DGEN still shed 39.75 points --- it's biggest single-day drop since July 5 when the index lost 103 points --- to close at 3382.87, which is 1.16 per cent down from the previous day.
Police were called in to step up security in front of the DSE trading floors and the Securities and Exchange Commission (SEC) office, as more than 50 investors staged demonstration, demanding easing of lending regulations for securities.
The protesters put up blockade in the Motijheel commercial area for half an hour and marched through the busy streets to the SEC office. Police said they have no report of violence.
The securities regulator last month tightened lending to mutual funds, paper shares and some risky securities in an effort to cool down what it said an 'overvalued' market.
The broader DSE All Shares Price Index (DSI) lost 32.82 points or 1.14 per cent to 2833.35 while DSE-20 blue chips index dropped 12.82 points or 0.55 per cent to 2285.25.
The market was skewed
towards declines as out of 227 issues traded, 67 advanced, 159 suffered losses and one remained unchanged. The turnover declined to Tk 8.90 billion against the previous session's Tk 10.88 billion.
Dealers said the market nose-dived due to the cautious attitude of the investors, as many were waiting in keen anticipation for next week's debut of the Grameenphone, the largest private company in the country.
"Investors, mostly small, sold their shares in a bid to see how the market reacts when Grameenphone (GP) makes its much-talked-about debut on Monday," said a stockbroker, asking not to be named.
"But a late gain by banking shares saved some blushes," he added.
The SEC also discussed GP's debut and its possible impact in the market.
"The commission thinks that there will be no major impact when GP debuts in the market," said a SEC official.
"Still, we shall observe the company's trading for two to three days. We'll be ready for any prompt action if we see any adverse situation," he added.
Shares of the state-owned Power Grid Company topped the turnover list with shares worth Tk 501.90 million changing hands.
It was followed by Titas Gas, AB Bank, Beximco, Jamuna Oil, Bextex, Standard Bank Ltd, Social Investment Bank Ltd, Premier Leasing and Al Arafah Bank.
Dhaka stocks Thursday saw the biggest single-day fall in more than four months amid protests by investors, as retailers took wait-and-see approach ahead of the debut of the country's largest initial public offering, Grameenphone.
The benchmark DSE General Index (DGEN) dropped some 60 points across the board when the trading began, sending scores of angry investors to the streets, but made some recoveries in late hours, led by banking shares.
The DGEN still shed 39.75 points --- it's biggest single-day drop since July 5 when the index lost 103 points --- to close at 3382.87, which is 1.16 per cent down from the previous day.
Police were called in to step up security in front of the DSE trading floors and the Securities and Exchange Commission (SEC) office, as more than 50 investors staged demonstration, demanding easing of lending regulations for securities.
The protesters put up blockade in the Motijheel commercial area for half an hour and marched through the busy streets to the SEC office. Police said they have no report of violence.
The securities regulator last month tightened lending to mutual funds, paper shares and some risky securities in an effort to cool down what it said an 'overvalued' market.
The broader DSE All Shares Price Index (DSI) lost 32.82 points or 1.14 per cent to 2833.35 while DSE-20 blue chips index dropped 12.82 points or 0.55 per cent to 2285.25.
The market was skewed
towards declines as out of 227 issues traded, 67 advanced, 159 suffered losses and one remained unchanged. The turnover declined to Tk 8.90 billion against the previous session's Tk 10.88 billion.
Dealers said the market nose-dived due to the cautious attitude of the investors, as many were waiting in keen anticipation for next week's debut of the Grameenphone, the largest private company in the country.
"Investors, mostly small, sold their shares in a bid to see how the market reacts when Grameenphone (GP) makes its much-talked-about debut on Monday," said a stockbroker, asking not to be named.
"But a late gain by banking shares saved some blushes," he added.
The SEC also discussed GP's debut and its possible impact in the market.
"The commission thinks that there will be no major impact when GP debuts in the market," said a SEC official.
"Still, we shall observe the company's trading for two to three days. We'll be ready for any prompt action if we see any adverse situation," he added.
Shares of the state-owned Power Grid Company topped the turnover list with shares worth Tk 501.90 million changing hands.
It was followed by Titas Gas, AB Bank, Beximco, Jamuna Oil, Bextex, Standard Bank Ltd, Social Investment Bank Ltd, Premier Leasing and Al Arafah Bank.
weekly stock market-Stocks decline on profit-taking ahead of GP debut
FE Report
Dhaka stocks closed lower in the past week, ending nine weeks of bull-run as cautious investors booked profit ahead of the debut by giant Grameenphone.
In the week that ended on Thursday, the benchmark Dhaka Stock Exchange (DSE) General Index (DGEN) shed 30.66 points or 0.90 per cent to 3382.87, which came below 3400-mark for the first time in two weeks.
The broader DSE All Shares Price Index (DSI) finished at 2833.35 with a loss of 25.15 points or 0.88 per cent while the DSE-20 blue chips index lost 1.32 points or 0.06 per cent to 2285.26.
Profit-taking on a number of heavy weights was one of the main reasons behind market indices' decline during the week, dealers said. In addition, profit taking in DSE coincided with cautious trading ahead of the GP's share transaction, which will begin on Monday next on both the bourses.
"After the successive bullish weeks, the market witnessed profit-taking," said an analyst.
Dealers said the market fundamentals were strong and investors were attracted by good third quarter corporate results. But investors were cautious ahead of GP debut."
The investment sector or mutual fund was the biggest loser during the week as the chamber judge of the Supreme Court extended stay order of High Court's verdict on allowing mutual funds to issue rights and bonus shares by two weeks.
The Securities and Exchange Commission (SEC) prayed for the stay-order on HC's order.
Banking issues, the bellwether of the market, saw modest gain during the week, following positive third quarter results. Most of the sectors also ended in the negative.
The week's daily average turnover stood at Tk 9.60 billion, an increase of 5.12 per cent over the previous week.
Losers took a strong lead over the gainers as out of 255 issues traded, 78 went into the positive territory, 165 into the negative and 12 were not traded.
Dhaka stocks closed lower in the past week, ending nine weeks of bull-run as cautious investors booked profit ahead of the debut by giant Grameenphone.
In the week that ended on Thursday, the benchmark Dhaka Stock Exchange (DSE) General Index (DGEN) shed 30.66 points or 0.90 per cent to 3382.87, which came below 3400-mark for the first time in two weeks.
The broader DSE All Shares Price Index (DSI) finished at 2833.35 with a loss of 25.15 points or 0.88 per cent while the DSE-20 blue chips index lost 1.32 points or 0.06 per cent to 2285.26.
Profit-taking on a number of heavy weights was one of the main reasons behind market indices' decline during the week, dealers said. In addition, profit taking in DSE coincided with cautious trading ahead of the GP's share transaction, which will begin on Monday next on both the bourses.
"After the successive bullish weeks, the market witnessed profit-taking," said an analyst.
Dealers said the market fundamentals were strong and investors were attracted by good third quarter corporate results. But investors were cautious ahead of GP debut."
The investment sector or mutual fund was the biggest loser during the week as the chamber judge of the Supreme Court extended stay order of High Court's verdict on allowing mutual funds to issue rights and bonus shares by two weeks.
The Securities and Exchange Commission (SEC) prayed for the stay-order on HC's order.
Banking issues, the bellwether of the market, saw modest gain during the week, following positive third quarter results. Most of the sectors also ended in the negative.
The week's daily average turnover stood at Tk 9.60 billion, an increase of 5.12 per cent over the previous week.
Losers took a strong lead over the gainers as out of 255 issues traded, 78 went into the positive territory, 165 into the negative and 12 were not traded.
Investors' awareness programmes receive good response
FE Report
Programmes arranged to create investors' awareness by the Securities and Exchange Commission (SEC) and the Dhaka Stock Exchange (DSE) are now drawing a large number of investors.
Dhaka Stock Exchange (DSE) is also having a similar response from the investors in its 'weekly' and 'monthly' awareness programmes.
"We have limitations and regular office duties. In spite of our daily business we are arranging the programmes. It's not possible to accommodate the all newcomers in the programmes. But there is no cause for frustration as we will continue the programmes year after year," Mansur Alam, a member of the SEC, told the FE Friday.
"After a few days I will go on LPR. Without having prior knowledge I do not want to be involved in the stock market," Zia-ul Hasan, a detective officer who was unable to be enrolled in the SEC awareness programme, told the FE.
"The SEC takes no fees from the participants. Through the regular business we try to make the investors conscious about their investment and the stock market," ATM Tarquzzaman, an executive director of the SEC, told the FE.
"It's a positive sign for our capital market. The more the investors will come to participate in the awareness programmes the more they will be benefited. We will extend the programmes across the country with the stock branches," Rakibur Rahman, president of DSE, told the FE.
"Students and interested persons of different professions and the subscribers of different companies are coming to attend the awareness programmes," the officials of SEC told the FE.
"Every day a large number of subscribers communicate over the telephone and come in person to collect enrolment forms of the programme. Most of the new comers are the subscribers of Grameen Phone, but we are not able to allow them after closing the enrolment procedure," Mahbubur Rahman, a senior officer of SEC, told the FE Thursday.
"Already the vacancies up to next June have been filled. As a result, being frustrated the subscribers are going back," Mahbubur Rahman added.
According to the officials, from January to March of 2009, 152 participants attended the education programme of the SEC. They were taught the relevant laws of stock markets, rules and regulations, the structure of regulatory and surveillance systems.
Programmes arranged to create investors' awareness by the Securities and Exchange Commission (SEC) and the Dhaka Stock Exchange (DSE) are now drawing a large number of investors.
Dhaka Stock Exchange (DSE) is also having a similar response from the investors in its 'weekly' and 'monthly' awareness programmes.
"We have limitations and regular office duties. In spite of our daily business we are arranging the programmes. It's not possible to accommodate the all newcomers in the programmes. But there is no cause for frustration as we will continue the programmes year after year," Mansur Alam, a member of the SEC, told the FE Friday.
"After a few days I will go on LPR. Without having prior knowledge I do not want to be involved in the stock market," Zia-ul Hasan, a detective officer who was unable to be enrolled in the SEC awareness programme, told the FE.
"The SEC takes no fees from the participants. Through the regular business we try to make the investors conscious about their investment and the stock market," ATM Tarquzzaman, an executive director of the SEC, told the FE.
"It's a positive sign for our capital market. The more the investors will come to participate in the awareness programmes the more they will be benefited. We will extend the programmes across the country with the stock branches," Rakibur Rahman, president of DSE, told the FE.
"Students and interested persons of different professions and the subscribers of different companies are coming to attend the awareness programmes," the officials of SEC told the FE.
"Every day a large number of subscribers communicate over the telephone and come in person to collect enrolment forms of the programme. Most of the new comers are the subscribers of Grameen Phone, but we are not able to allow them after closing the enrolment procedure," Mahbubur Rahman, a senior officer of SEC, told the FE Thursday.
"Already the vacancies up to next June have been filled. As a result, being frustrated the subscribers are going back," Mahbubur Rahman added.
According to the officials, from January to March of 2009, 152 participants attended the education programme of the SEC. They were taught the relevant laws of stock markets, rules and regulations, the structure of regulatory and surveillance systems.
DSE sees demo on falling stocks
Staff Correspondent
A group of retail investors on Thursday staged demonstration in front of Dhaka Stock Exchange building after significant fall in share prices at the week’s closing.
Being frustrated with the sharp fall in the share prices, a group of retail investors gathered in front of the DSE building at about 12:00pm and agitated on the road, blocking traffic for about half an hour, until the police came to restore normalcy, witnesses said.
The DSE general index lost 39.76 points, or 1.16 per cent, to close at 3,382.87 on Thursday, the last trading day of the week, while its blue chips index, DSE20, shed 12.83 points, or 0.56 per cent, to finish at 2,285.26.
Of the total 227 issues traded, 159 declined, 67 advanced, and one remained unchanged.
Turnover at the DSE also dropped to Tk 889.19 crore from the Wednesday’s Tk 1,087.93 crore.
A group of retail investors on Thursday staged demonstration in front of Dhaka Stock Exchange building after significant fall in share prices at the week’s closing.
Being frustrated with the sharp fall in the share prices, a group of retail investors gathered in front of the DSE building at about 12:00pm and agitated on the road, blocking traffic for about half an hour, until the police came to restore normalcy, witnesses said.
The DSE general index lost 39.76 points, or 1.16 per cent, to close at 3,382.87 on Thursday, the last trading day of the week, while its blue chips index, DSE20, shed 12.83 points, or 0.56 per cent, to finish at 2,285.26.
Of the total 227 issues traded, 159 declined, 67 advanced, and one remained unchanged.
Turnover at the DSE also dropped to Tk 889.19 crore from the Wednesday’s Tk 1,087.93 crore.
Thursday, November 12, 2009
Investors call for DSE chief's head over slide
Dhaka, Nov 12 (bdnews24.com)—Retail investors staged demonstrations in front of Dhaka Stock Exchange office on Thursday, calling for the head of the bourse chief for the sliding share prices.
A group of investors at 12:30pm took to the streets following substantial falls in prices, blocking the adjacent roads to the Dhaka Stock Exchange.
The demonstrators blamed the slump on DSE president Rakibur Rahman and demanded his resignation.
Indices on the prime bourse opened with a positive note but ended the day 39 points lower, maintaining the week's bearish trend.
The wrath of investors was mainly fuelled by a price slump in mutual funds.
Law-enforcers dispersed the protesters who created a blockade in the city's commercial hub of Motijheel, causing traffic congestion.
Extra forces of police and the Rapid Action Battalion were deployed in front of the DSE to avoid further chaos.
The demonstrators said the High Court on Sunday held back its verdict given the same day, which allows mutual funds to issue rights and bonus shares, for seven days.
The move was made after pleas from lawyers defending the Securities and Exchange Commission that barred mutual funds issuing rights and bonus shares through an amendment.
On Wednesday, the Supreme Court held withheld the High Court ruling for two weeks upon pleas from SEC lawyers.
"This has caused a massive fall in prices of mutual funds, causing hundreds of small-scale investors to burn their fingers," said Nurul Alam, one of the demonstrators.
The market is in doldrums over the week as indices are witnessing a constant fall.
Thursday's trading left 159 issues out of the 227 traded scrips to lose value.
Meanwhile, the Chittagong Stock Exchange also finished the day in red. The key index, CSCX, fell 63 points while 105 among 159 traded scrips lost.
bdnews24.com
A group of investors at 12:30pm took to the streets following substantial falls in prices, blocking the adjacent roads to the Dhaka Stock Exchange.
The demonstrators blamed the slump on DSE president Rakibur Rahman and demanded his resignation.
Indices on the prime bourse opened with a positive note but ended the day 39 points lower, maintaining the week's bearish trend.
The wrath of investors was mainly fuelled by a price slump in mutual funds.
Law-enforcers dispersed the protesters who created a blockade in the city's commercial hub of Motijheel, causing traffic congestion.
Extra forces of police and the Rapid Action Battalion were deployed in front of the DSE to avoid further chaos.
The demonstrators said the High Court on Sunday held back its verdict given the same day, which allows mutual funds to issue rights and bonus shares, for seven days.
The move was made after pleas from lawyers defending the Securities and Exchange Commission that barred mutual funds issuing rights and bonus shares through an amendment.
On Wednesday, the Supreme Court held withheld the High Court ruling for two weeks upon pleas from SEC lawyers.
"This has caused a massive fall in prices of mutual funds, causing hundreds of small-scale investors to burn their fingers," said Nurul Alam, one of the demonstrators.
The market is in doldrums over the week as indices are witnessing a constant fall.
Thursday's trading left 159 issues out of the 227 traded scrips to lose value.
Meanwhile, the Chittagong Stock Exchange also finished the day in red. The key index, CSCX, fell 63 points while 105 among 159 traded scrips lost.
bdnews24.com
DSE GENERAL INDEX & TURNOVER
12.11.09 THURS DAY
TURNOVER:▼Tk 8,891.85 million
DGEN:▼3382.87241
INDEX CHANGE:▼39.75735
ADVANCE :67
DECLINE :159
UNCHANGED:1
................................................................................
11.11.09 WEDNESDAY
TURNOVER:▲Tk 10,879.27 million
DGEN:▼3422.62976
INDEX CHANGE:▼23.98938
ADVANCE :94
DECLINE :139
UNCHANGED:0
TURNOVER:▼Tk 8,891.85 million
DGEN:▼3382.87241
INDEX CHANGE:▼39.75735
ADVANCE :67
DECLINE :159
UNCHANGED:1
................................................................................
11.11.09 WEDNESDAY
TURNOVER:▲Tk 10,879.27 million
DGEN:▼3422.62976
INDEX CHANGE:▼23.98938
ADVANCE :94
DECLINE :139
UNCHANGED:0
DSE NEWS HIGHLIGHTS AS ON 12.11.09 THURSDAY
TURNOVER:Today's (12.11.09) Total Trades: 150,112; Volume: 38,014,076 and Turnover: Tk. 8,891.85 million.
DELTA SPINNING:As per un-audited quarterly September 2009 (July to September), the Company has reported Net profit of Tk. 7.74 million with EPS of Tk. 5.06 as against Tk. 5.96 million and Tk. 3.90 respectively for the same period of the previous year.
ZEAL BANGLA:The Board of Directors did not recommend any dividend for the year 2008-2009. Date of AGM: 26.12.09, Time: 10:00 AM, Venue: Jamalpur Shilpakala Academy Auditorium, Jamalpur. Book Closure: 08.12.09 to 26.12.09.
BD AUTOCAR:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July to September), the Company has reported Net profit after tax of Tk. 0.55 million with EPS of Tk. 1.69 as against Tk. 0.51 million and Tk. 1.57 respectively for the same period of the previous year.
RELIANCE INS:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009 (January - September 2009), the Company has reported net profit after tax of Tk. 74.84 million with EPS of Tk. 31.98 as against Tk. 66.52 million and Tk. 28.43 (restated) respectively for the same period of the previous year.
AL ARAFAH BANK:The Bank has informed that the Board of Directors of the Bank has decided to hold an EGM on 13.12.09 at 11:00 AM at Trust Milonayoton, Dhaka Cantonment, Dhaka for amending the some Clauses of Memorandum and Articles of Association of the Bank, among others, are as follows: The authorized share capital of the company is taka 500,00,00,000.00 divided into 50 crore ordinary shares of Tk. 10.00 each with power to increase or reduce the capital, to divide or sub-divide the shares in the capital for the time being into several classes and to attach thereto respectively such preferential, deferred, qualified or special rights, privileges or conditions as may be determined by or in accordance with the regulations of the company and to vary modify or abrogate any such rights, privileges or conditions in such manner as may be for the time being be provided by the regulations of the company and consolidate or subdivide the shares and issue shares of higher or lower denominations. The market lot of the shares shall be 250 subject to approval of Regulatory Authorities. Record date of EGM: 18.11.09.
CONTINENTAL INS:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 22.08 million with EPS of Tk. 13.38.
SHAHJALAL BANK:The Bank has informed that the Board of Directors of the Bank has taken the following decisions: 1) a) The Bank shall sponsor a Mutual Fund of Tk. 1 billion (100 million unit of Tk. 10 each) for the local market namely SJIBL 1st Islamic Mutual Fund, B) The Bank will sponsor by subscribing 10% i.e., Tk. 100 million out of total fund of Tk. 1 billion and balance amount will be raised through private placement and Initial Public Offering, c) VIPB Asset Management Company Limited will be the fund manager and d) This decision shall supersede the previous disclosure on Shahjalal Islami Bank VIPB Islamic Fund dated June 1, 2009. 2) Purchase of a floor space measuring 3,910 square feet with 2 (two) car parking at Eskaton Fantasia, 122/123, New Eskaton, Dhaka at a cost of Tk. 55.39 million excluding registration cost, VAT, Tax etc. for the Bank. and 3) Purchase of a floor space measuring 3,100 square feet at M. Rahman City Center, J.L. No. 16, Lal Dighir Par, Cox's Bazar at a cost of Tk. 11.16 million excluding registration cost, VAT, Tax etc. for the Bank.
POPULAR LIFE:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009 (January to September), the company has reported an increase in life revenue account of Tk. 1,919.70 m. with total life insurance fund of Tk. 8,000.60 m. as against Tk. 1,561.51 m. and Tk. 5,209.89 m. respectively for the same period of the previous year.
DBH:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July to September), the Company has reported Net profit after tax of Tk. 75.59 million with EPS of Tk. 20.82 as against Tk. 47.01 million and Tk. 12.68 respectively for the same period of the previous year.
KOHINOOR:The Board of Directors has recommended cash dividend @ 40% for the year 2008-2009. Date of AGM: 17.12.09, Time: 9:00 a.m.,Venue: Bangabandhu International Conference Centre, Agargaon, Sher-E-Bangla Nagar, Dhaka. Book closure: 27.11.09 to 17.12.09. The company has also reported Earning Per share (EPS) of Tk. 76.69, Net Asset Value (NAV) per share of Tk. (124.83) and Net Operating Cash Flow per share of Tk. 249.17 for the year ended on June 30, 2009.
DELTA SPINNING:As per un-audited quarterly September 2009 (July to September), the Company has reported Net profit of Tk. 7.74 million with EPS of Tk. 5.06 as against Tk. 5.96 million and Tk. 3.90 respectively for the same period of the previous year.
ZEAL BANGLA:The Board of Directors did not recommend any dividend for the year 2008-2009. Date of AGM: 26.12.09, Time: 10:00 AM, Venue: Jamalpur Shilpakala Academy Auditorium, Jamalpur. Book Closure: 08.12.09 to 26.12.09.
BD AUTOCAR:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July to September), the Company has reported Net profit after tax of Tk. 0.55 million with EPS of Tk. 1.69 as against Tk. 0.51 million and Tk. 1.57 respectively for the same period of the previous year.
RELIANCE INS:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009 (January - September 2009), the Company has reported net profit after tax of Tk. 74.84 million with EPS of Tk. 31.98 as against Tk. 66.52 million and Tk. 28.43 (restated) respectively for the same period of the previous year.
AL ARAFAH BANK:The Bank has informed that the Board of Directors of the Bank has decided to hold an EGM on 13.12.09 at 11:00 AM at Trust Milonayoton, Dhaka Cantonment, Dhaka for amending the some Clauses of Memorandum and Articles of Association of the Bank, among others, are as follows: The authorized share capital of the company is taka 500,00,00,000.00 divided into 50 crore ordinary shares of Tk. 10.00 each with power to increase or reduce the capital, to divide or sub-divide the shares in the capital for the time being into several classes and to attach thereto respectively such preferential, deferred, qualified or special rights, privileges or conditions as may be determined by or in accordance with the regulations of the company and to vary modify or abrogate any such rights, privileges or conditions in such manner as may be for the time being be provided by the regulations of the company and consolidate or subdivide the shares and issue shares of higher or lower denominations. The market lot of the shares shall be 250 subject to approval of Regulatory Authorities. Record date of EGM: 18.11.09.
CONTINENTAL INS:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 22.08 million with EPS of Tk. 13.38.
SHAHJALAL BANK:The Bank has informed that the Board of Directors of the Bank has taken the following decisions: 1) a) The Bank shall sponsor a Mutual Fund of Tk. 1 billion (100 million unit of Tk. 10 each) for the local market namely SJIBL 1st Islamic Mutual Fund, B) The Bank will sponsor by subscribing 10% i.e., Tk. 100 million out of total fund of Tk. 1 billion and balance amount will be raised through private placement and Initial Public Offering, c) VIPB Asset Management Company Limited will be the fund manager and d) This decision shall supersede the previous disclosure on Shahjalal Islami Bank VIPB Islamic Fund dated June 1, 2009. 2) Purchase of a floor space measuring 3,910 square feet with 2 (two) car parking at Eskaton Fantasia, 122/123, New Eskaton, Dhaka at a cost of Tk. 55.39 million excluding registration cost, VAT, Tax etc. for the Bank. and 3) Purchase of a floor space measuring 3,100 square feet at M. Rahman City Center, J.L. No. 16, Lal Dighir Par, Cox's Bazar at a cost of Tk. 11.16 million excluding registration cost, VAT, Tax etc. for the Bank.
POPULAR LIFE:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009 (January to September), the company has reported an increase in life revenue account of Tk. 1,919.70 m. with total life insurance fund of Tk. 8,000.60 m. as against Tk. 1,561.51 m. and Tk. 5,209.89 m. respectively for the same period of the previous year.
DBH:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July to September), the Company has reported Net profit after tax of Tk. 75.59 million with EPS of Tk. 20.82 as against Tk. 47.01 million and Tk. 12.68 respectively for the same period of the previous year.
KOHINOOR:The Board of Directors has recommended cash dividend @ 40% for the year 2008-2009. Date of AGM: 17.12.09, Time: 9:00 a.m.,Venue: Bangabandhu International Conference Centre, Agargaon, Sher-E-Bangla Nagar, Dhaka. Book closure: 27.11.09 to 17.12.09. The company has also reported Earning Per share (EPS) of Tk. 76.69, Net Asset Value (NAV) per share of Tk. (124.83) and Net Operating Cash Flow per share of Tk. 249.17 for the year ended on June 30, 2009.
PEOPLES QUERY???
Mr. S.A Kabir's query:I heared that every 100 tk shares will be convert to 10tk.is it true?then where will go 10 tk. share like 15/20tk.
whats this?
Should I wait or sell tomorow early?bcuse prothom alo also with DSE and SEC to trap the little investor.
Kabir,Dhaka
Rashed say:Hmm a report of Prothom Alo yesterday make the confusion.Its impossible to convert all share in 10 tk. the price adjustment will make market more vulnerable .Market PE is go to a dangerous level.So i think it will be bad decsion to destroy the market.Don't worry i think SEC will take the perfect decision to save the market.No need to sell ur share just keep ur patience.
whats this?
Should I wait or sell tomorow early?bcuse prothom alo also with DSE and SEC to trap the little investor.
Kabir,Dhaka
Rashed say:Hmm a report of Prothom Alo yesterday make the confusion.Its impossible to convert all share in 10 tk. the price adjustment will make market more vulnerable .Market PE is go to a dangerous level.So i think it will be bad decsion to destroy the market.Don't worry i think SEC will take the perfect decision to save the market.No need to sell ur share just keep ur patience.
Next hearing on UCBL writ Dec 7
FE report
The next hearing on the writ concerning the United Commercial Bank Limited (UCBL) will be held on December 7.
A full bench of the Appellate Division headed by Chief Justice M M Ruhul Amin fixed the date after hearing Wednesday.
Azmalul Hossain QC appeared in the court on behalf of the UCBL and Dr M Zahir on behalf of investors.
The next hearing on the writ concerning the United Commercial Bank Limited (UCBL) will be held on December 7.
A full bench of the Appellate Division headed by Chief Justice M M Ruhul Amin fixed the date after hearing Wednesday.
Azmalul Hossain QC appeared in the court on behalf of the UCBL and Dr M Zahir on behalf of investors.
GP share trading begins on DSE 16.11.09 Monday
FE Report
Share trading of the country's largest issue Grameenphone will begin Monday next on the Dhaka Stock Exchange (DSE) and Sunday next on the Chittagong Stock Exchange (CSE).
The DSE board Wednesday approved the GP listing and fixed the debut day.
"The GP share trading will make debut Monday next " said Rakibur Rahman, DSE president.
Usually, any newly listed company's share trading began in the same on the country's both the bourses.
"We are ready to start share trading of the GP Sunday next," Mohammaed Abdullah Mamun, chief executive officer of CSE, told the FE. " We can consider for beginning GP share trading in the same day with the DSE, if GP requests us to change the date," he added.
Top mobile phone operator, GP raised Tk 4.86 billion through the sale of 69.44 million shares to the public and the same amount by selling similar stakes to institutional investors such as banks, insurances and mutual funds.
The Securities and Exchange Commission, on Aug 20, cleared the GP to float ordinary shares of Tk 10 each, in addition to a Tk 60 premium per share.
Lottery draw for share allotment of the GP was held on October 29. The venue was abuzz with hundreds of aspirants, who gathered there early in the morning as the GP initial public offering (IPO) fired them up since its plan to go public.
Out of the total of 312,501 shares, local investors were allocated 277,757, a further 34,720 went to non-resident Bangladeshis and 24 to the mutual funds, according to the figures provided by the GP.
The pre-IPO or private placement of Tk 4.86 million was completed in December last year.
GP's IPO subscriptions opened on Oct 4 and closed on Oct 8 for locals. Non-resident Bangladeshis (NRBs) had until Oct 18.
Norway's telecom giant Telenor owns 62 percent of Grameenphone, launched in 1997, while the local Grameen Telecom owns the rest.
Meanwhile, Chittagong Stock Exchange (CSE) newly elected president Fakhor Uddin Ali Ahmed handed over the listing confirmation letter to the chief executive officer of the GP Oddvar Hesjadal at its Dhaka office Wednesday.
CSE President urged foreign investors to offload share or raise capital through Bangladesh capital market since it has been proved that large size of capital like GP has been easily subscribed by the retail investors.
CSE's Vice Presidents Al Maruf Khan and AQI Chowdhury, Directors MKM Mohiuddin and Mohammad Fakhruddin, and GP chief corporate officer Raihan Shamsi were also present among others in the programme.
Share trading of the country's largest issue Grameenphone will begin Monday next on the Dhaka Stock Exchange (DSE) and Sunday next on the Chittagong Stock Exchange (CSE).
The DSE board Wednesday approved the GP listing and fixed the debut day.
"The GP share trading will make debut Monday next " said Rakibur Rahman, DSE president.
Usually, any newly listed company's share trading began in the same on the country's both the bourses.
"We are ready to start share trading of the GP Sunday next," Mohammaed Abdullah Mamun, chief executive officer of CSE, told the FE. " We can consider for beginning GP share trading in the same day with the DSE, if GP requests us to change the date," he added.
Top mobile phone operator, GP raised Tk 4.86 billion through the sale of 69.44 million shares to the public and the same amount by selling similar stakes to institutional investors such as banks, insurances and mutual funds.
The Securities and Exchange Commission, on Aug 20, cleared the GP to float ordinary shares of Tk 10 each, in addition to a Tk 60 premium per share.
Lottery draw for share allotment of the GP was held on October 29. The venue was abuzz with hundreds of aspirants, who gathered there early in the morning as the GP initial public offering (IPO) fired them up since its plan to go public.
Out of the total of 312,501 shares, local investors were allocated 277,757, a further 34,720 went to non-resident Bangladeshis and 24 to the mutual funds, according to the figures provided by the GP.
The pre-IPO or private placement of Tk 4.86 million was completed in December last year.
GP's IPO subscriptions opened on Oct 4 and closed on Oct 8 for locals. Non-resident Bangladeshis (NRBs) had until Oct 18.
Norway's telecom giant Telenor owns 62 percent of Grameenphone, launched in 1997, while the local Grameen Telecom owns the rest.
Meanwhile, Chittagong Stock Exchange (CSE) newly elected president Fakhor Uddin Ali Ahmed handed over the listing confirmation letter to the chief executive officer of the GP Oddvar Hesjadal at its Dhaka office Wednesday.
CSE President urged foreign investors to offload share or raise capital through Bangladesh capital market since it has been proved that large size of capital like GP has been easily subscribed by the retail investors.
CSE's Vice Presidents Al Maruf Khan and AQI Chowdhury, Directors MKM Mohiuddin and Mohammad Fakhruddin, and GP chief corporate officer Raihan Shamsi were also present among others in the programme.
Profit takers send stock mkt into red
FE Report
Dhaka stocks fell on profit taking in the heavily fluctuating market Wednesday, snapping the two-day record-breaking rally.
Turnover rose to Tk 10.88 billion, fueled by the highest ever single-day transaction by Titas Gas.
The market swung between gains and losses several times as some 'punters' sold off their holdings at higher prices and bought again at lower prices capitalising the news that the consultative committee of the Securities and Exchange Commission (SEC) has proposed to set uniform face value of shares at Tk 10, sources said.
The benchmark Dhaka Stock Exchange (DSE)
General Index (DGEN) seesawed much of the session gaining 20 points in the morning but shed 23.98 points or 0.69 per cent to 3422.62 at the end of the day.
The broader DSE All Shares Price Index (DSI) lost 17.80 points or 0.62 per cent to 2856.17 while DSE-20 blue chips index dropped 18.13 points or 0.76 per cent to 2298.08.
"Profit takers sent the market into the red," said Akter H Sannamat, managing director of the Prime Finance and Investment Ltd. "The market showed mature behaviour despite positive news for which the investors always remain hungry," he added.
However, a dealer requesting not to be named said, "Selling prices at higher prices and buying at lower prices again by the 'punters' have affected the normal price movement of the market on the day."
SEC Member Mansur Alam ensured about the consultative committees proposals with the FE Tuesday.
But the DSE said in its website Wednesday, "No decision has been taken yet on split of face value of shares of all listed companies. There was only a discussion on the proposal in this regard in the consultative committee meeting of SEC held on November 10, 2009."
Prices of many scrips like DESCO and Titas Gas saw wild price fluctuation and finally went into the red despite the positive news that the face value might be split from Tk 100 into Tk 10 if securities regulator approved the proposal of its consultative committee.
Opening at Tk 1620 a share, share prices of the DESCO rose as high as Tk 1660 before dipping at Tk 1550 at close.
Dhaka stocks fell on profit taking in the heavily fluctuating market Wednesday, snapping the two-day record-breaking rally.
Turnover rose to Tk 10.88 billion, fueled by the highest ever single-day transaction by Titas Gas.
The market swung between gains and losses several times as some 'punters' sold off their holdings at higher prices and bought again at lower prices capitalising the news that the consultative committee of the Securities and Exchange Commission (SEC) has proposed to set uniform face value of shares at Tk 10, sources said.
The benchmark Dhaka Stock Exchange (DSE)
General Index (DGEN) seesawed much of the session gaining 20 points in the morning but shed 23.98 points or 0.69 per cent to 3422.62 at the end of the day.
The broader DSE All Shares Price Index (DSI) lost 17.80 points or 0.62 per cent to 2856.17 while DSE-20 blue chips index dropped 18.13 points or 0.76 per cent to 2298.08.
"Profit takers sent the market into the red," said Akter H Sannamat, managing director of the Prime Finance and Investment Ltd. "The market showed mature behaviour despite positive news for which the investors always remain hungry," he added.
However, a dealer requesting not to be named said, "Selling prices at higher prices and buying at lower prices again by the 'punters' have affected the normal price movement of the market on the day."
SEC Member Mansur Alam ensured about the consultative committees proposals with the FE Tuesday.
But the DSE said in its website Wednesday, "No decision has been taken yet on split of face value of shares of all listed companies. There was only a discussion on the proposal in this regard in the consultative committee meeting of SEC held on November 10, 2009."
Prices of many scrips like DESCO and Titas Gas saw wild price fluctuation and finally went into the red despite the positive news that the face value might be split from Tk 100 into Tk 10 if securities regulator approved the proposal of its consultative committee.
Opening at Tk 1620 a share, share prices of the DESCO rose as high as Tk 1660 before dipping at Tk 1550 at close.
Non-banks widen share in private sector credit
Sajjadur Rahman-Star Business Report
Non-bank financial institutions (NBFIs) are increasingly coming forward to finance private sector investments that are still dominated by the banking sector, according to a Bangladesh Bank (BB) report.
NBFI's share in private sector credit reached over 5 percent at the end of Q1 of the current fiscal year from less than 4 percent four years ago, according to the BB quarterly report for July-September.
Aggregate private sector credit stood at Tk 2,478 billion at the end of September, of which NBFI share was only Tk 125 billion.
Private sector credit disbursement by NBFIs increased by over 21 percent in the July-September period of fiscal 2009-10 compared to the same period a year ago, despite a sharp decline in demand. While bank credit growth was slightly over two percent in Q1 of 2009-10 than that of Q1 last year.
“A part of banking sector credit is absorbed by non-bank institutions,” observed the latest BB quarterly report released this week.
Although NBFI's contribution to private sector credit still remains insignificant in comparison to the banks, it is rising persistently.
NBFIs disbursed nearly Tk 5.5 billion to the private sector in the July-September quarter, which was less than Tk 3 billion in the previous quarter.
Sector people said in recent years most NBFIs have diversified their products and services to many other areas, such as small loans, housing loans, start-up working capital and domestic factoring of accounts receivable, to net more businesses.
Some of these non-bank institutions have already introduced new financial instruments like bonds, securitisation, syndication services, merchant banking and stock brokerage.
Term lending by these financial institutions are also rising -- reaching Tk 7.12 billion at the end of June from Tk 5.25 billion in March.
Mafizuddin Sarker, managing director of LankaBangla Finance, also said NBFI participation in private sector financing has increased.
“Now we fund a lot of industries for their balancing, modernisation, rehabilitation and extension (BMRE),” said Sarker, also the president of the Bangladesh Leasing and Finance Companies Association.
NBFIs are also lending more towards working capital, to bridge fund inflow and outflow in business cycles, he added.
A total of 29 NBFIs are operating in Bangladesh. Their total paid-up capital is less than Tk 20 billion. Banks are their main source of funds.
The total assets figure of the leasing industry has been rising at an average rate of nearly 25 percent a year for the last five years, according to the industry people.
sajjad@thedailystar.net
Non-bank financial institutions (NBFIs) are increasingly coming forward to finance private sector investments that are still dominated by the banking sector, according to a Bangladesh Bank (BB) report.
NBFI's share in private sector credit reached over 5 percent at the end of Q1 of the current fiscal year from less than 4 percent four years ago, according to the BB quarterly report for July-September.
Aggregate private sector credit stood at Tk 2,478 billion at the end of September, of which NBFI share was only Tk 125 billion.
Private sector credit disbursement by NBFIs increased by over 21 percent in the July-September period of fiscal 2009-10 compared to the same period a year ago, despite a sharp decline in demand. While bank credit growth was slightly over two percent in Q1 of 2009-10 than that of Q1 last year.
“A part of banking sector credit is absorbed by non-bank institutions,” observed the latest BB quarterly report released this week.
Although NBFI's contribution to private sector credit still remains insignificant in comparison to the banks, it is rising persistently.
NBFIs disbursed nearly Tk 5.5 billion to the private sector in the July-September quarter, which was less than Tk 3 billion in the previous quarter.
Sector people said in recent years most NBFIs have diversified their products and services to many other areas, such as small loans, housing loans, start-up working capital and domestic factoring of accounts receivable, to net more businesses.
Some of these non-bank institutions have already introduced new financial instruments like bonds, securitisation, syndication services, merchant banking and stock brokerage.
Term lending by these financial institutions are also rising -- reaching Tk 7.12 billion at the end of June from Tk 5.25 billion in March.
Mafizuddin Sarker, managing director of LankaBangla Finance, also said NBFI participation in private sector financing has increased.
“Now we fund a lot of industries for their balancing, modernisation, rehabilitation and extension (BMRE),” said Sarker, also the president of the Bangladesh Leasing and Finance Companies Association.
NBFIs are also lending more towards working capital, to bridge fund inflow and outflow in business cycles, he added.
A total of 29 NBFIs are operating in Bangladesh. Their total paid-up capital is less than Tk 20 billion. Banks are their main source of funds.
The total assets figure of the leasing industry has been rising at an average rate of nearly 25 percent a year for the last five years, according to the industry people.
sajjad@thedailystar.net
Wednesday, November 11, 2009
DSE GENERAL INDEX & TURNOVER
11.11.09 WEDNESDAY
TURNOVER:▲Tk 10,879.27 million
DGEN:▼3422.62976
INDEX CHANGE:▼23.98938
ADVANCE :94
DECLINE :139
UNCHANGED:0
.................................................................................
10.11.09 TUES DAY
TURNOVER:▼Tk 8,671.57 million
DGEN:▲3446.61914
INDEX CHANGE:▲17.72159
ADVANCE :114
DECLINE :115
UNCHANGED:3
TURNOVER:▲Tk 10,879.27 million
DGEN:▼3422.62976
INDEX CHANGE:▼23.98938
ADVANCE :94
DECLINE :139
UNCHANGED:0
.................................................................................
10.11.09 TUES DAY
TURNOVER:▼Tk 8,671.57 million
DGEN:▲3446.61914
INDEX CHANGE:▲17.72159
ADVANCE :114
DECLINE :115
UNCHANGED:3
DSE NEWS HIGHLIGHTS AS ON 11.11.09 WEDNESDAY
TURNOVER:Today's (11.11.09) Total Trades: 151,828; Volume: 42,137,202 and Turnover: Tk. 10,879.27 million.
JUTE SPINNERS:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 1.17 million with EPS of Tk. 6.86 as against Tk. 1.43 million and Tk. 8.40 for the same period of the previous year. Accumulated loss of the company was Tk. 4.23 million as on 30.09.09.
MODERN DYEING:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 0.19 million with EPS of Tk. 1.40.
NTC:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported net profit of Tk. 39.23 million with EPS of Tk. 59.43 as against Tk. 28.95 million and Tk. 43.87 respectively for the same period of the previous year.
DSE NEWS ABOUT SPLIT OF 100 TK. FACE VALUE SHARE:This is for information of all concerned that it is observed that the news published in the today's (11.11.09) national dailies regarding fixation of unified face value of all listed companies by the Regulators concerned. However, it is to be noted here that no decision has been taken yet on split of face value of shares of all listed companies. There was only a discussion on the proposal in this regard in the consultative committee meeting of SEC held on November 10, 2009.
MITHUN KNITTING:The Board of Directors has recommended cash dividend @ 10% for the year 2008- 2009. Date of AGM: 20.12.09, Time: 11:00 AM, Venue: Company's Registered Office at Chuadanga. Record Date: 26.11.09. The company has also reported Net Asset Value (NAV) per share of Tk. 179.04, Earning Per share (EPS) of Tk. 17.79 and Net Operating Cash Flow per share of Tk. (25.73) for the year ended on June 30, 2009.
Expire Date: 2009-11-11
BANGAS:The Board of Directors has recommended cash dividend @ 15% for the year 2008- 2009. Date of AGM: 20.12.09, Time: 10:00 AM, Venue: Company's Registered Office at Chuadanga. Record Date: 26.11.09. The company has also reported Net Asset Value (NAV) per share of Tk. 164.80, Earning Per share (EPS) of Tk. 17.02 and Net Operating Cash Flow per share of Tk. (25.25) for the year ended on June 30, 2009.
TALLU SPINNING:The Board of Directors did not recommend any dividend for the year 2008-2009. Date of AGM: 20.12.09, Time: 12.00 noon, Venue: Company's Registered Office at Chuadanga. Record Date: 26.11.09. The company has also reported Net Asset Value (NAV) per share of Tk. 117.96, Earning Per share (EPS) of Tk. (10.89) and Net Operating Cash Flow per share of Tk. (25.95) for the year ended on June 30, 2009.
DULAMIA COTTON:The Board of Directors has recommended cash dividend @ 2% (for public shareholders other than sponsors) for the year 2008-2009. Date of AGM: 26.12.09, Time: 12.00 Noon, Venue: Factory Premises, Dagonbhuyan, Feni. Book Closure: 01.12.09 to 26.12.09.
The company has further informed that the Record date for the AGM of the company for the year ended June 30, 2009 will be on 01.12.09 instead of earlier declared Book Closure period from 01.12.09 to 26.12.09, as the trading of the shares of the company will be held in Demat form with effect from November 24, 2009 as per SEC Order dated 05.11.09.
AL-HAJTEX:he Board of Directors has recommended stock dividend @ 10% for the year 2008-2009 in pursuance of clause 66 & 67 of the Articles of Association of the company, subject to the approval at the forthcoming AGM by the shareholders. Date of AGM: 24.12.09, Time: 03:00 PM, Venue: Factory Premises of the Company, I.K. Road, Ishurdi, Pabna. Record Date: 01.12.09. The company has also reported Net Asset Value (NAV) per share of Tk. 39.16, Earning Per share (EPS) of Tk. (1.71) and Net Operating Cash Flow per share of Tk. 0.03 for the year ended on June 30, 2009.
SAMORITA HOSPITAL:The Board of Directors has recommended stock dividend @ 15% for the year 2008- 2009. The Company has also informed that an EGM will also be held to amend certain clauses of Memorandum and Articles of Association of the Company. Date of EGM & AGM: 07.01.10, Time of EGM & AGM: 10:00 AM & 11.00 AM respectively, Venue for EGM & AGM: LGED Auditorium, LGED Bhaban, Sher-e-Bangla Nagar, Agargaon, Dhaka. Record Date for EGM & AGM: 01.12.09. The company has also reported Net Asset Value (NAV) per share of Tk. 159.25, Earning Per share (EPS) of Tk. 31.94 and Net Operating Cash Flow per share of Tk. 48.11 for the year ended on June 30, 2009.
JUTE SPINNERS:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 1.17 million with EPS of Tk. 6.86 as against Tk. 1.43 million and Tk. 8.40 for the same period of the previous year. Accumulated loss of the company was Tk. 4.23 million as on 30.09.09.
MODERN DYEING:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 0.19 million with EPS of Tk. 1.40.
NTC:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported net profit of Tk. 39.23 million with EPS of Tk. 59.43 as against Tk. 28.95 million and Tk. 43.87 respectively for the same period of the previous year.
DSE NEWS ABOUT SPLIT OF 100 TK. FACE VALUE SHARE:This is for information of all concerned that it is observed that the news published in the today's (11.11.09) national dailies regarding fixation of unified face value of all listed companies by the Regulators concerned. However, it is to be noted here that no decision has been taken yet on split of face value of shares of all listed companies. There was only a discussion on the proposal in this regard in the consultative committee meeting of SEC held on November 10, 2009.
MITHUN KNITTING:The Board of Directors has recommended cash dividend @ 10% for the year 2008- 2009. Date of AGM: 20.12.09, Time: 11:00 AM, Venue: Company's Registered Office at Chuadanga. Record Date: 26.11.09. The company has also reported Net Asset Value (NAV) per share of Tk. 179.04, Earning Per share (EPS) of Tk. 17.79 and Net Operating Cash Flow per share of Tk. (25.73) for the year ended on June 30, 2009.
Expire Date: 2009-11-11
BANGAS:The Board of Directors has recommended cash dividend @ 15% for the year 2008- 2009. Date of AGM: 20.12.09, Time: 10:00 AM, Venue: Company's Registered Office at Chuadanga. Record Date: 26.11.09. The company has also reported Net Asset Value (NAV) per share of Tk. 164.80, Earning Per share (EPS) of Tk. 17.02 and Net Operating Cash Flow per share of Tk. (25.25) for the year ended on June 30, 2009.
TALLU SPINNING:The Board of Directors did not recommend any dividend for the year 2008-2009. Date of AGM: 20.12.09, Time: 12.00 noon, Venue: Company's Registered Office at Chuadanga. Record Date: 26.11.09. The company has also reported Net Asset Value (NAV) per share of Tk. 117.96, Earning Per share (EPS) of Tk. (10.89) and Net Operating Cash Flow per share of Tk. (25.95) for the year ended on June 30, 2009.
DULAMIA COTTON:The Board of Directors has recommended cash dividend @ 2% (for public shareholders other than sponsors) for the year 2008-2009. Date of AGM: 26.12.09, Time: 12.00 Noon, Venue: Factory Premises, Dagonbhuyan, Feni. Book Closure: 01.12.09 to 26.12.09.
The company has further informed that the Record date for the AGM of the company for the year ended June 30, 2009 will be on 01.12.09 instead of earlier declared Book Closure period from 01.12.09 to 26.12.09, as the trading of the shares of the company will be held in Demat form with effect from November 24, 2009 as per SEC Order dated 05.11.09.
AL-HAJTEX:he Board of Directors has recommended stock dividend @ 10% for the year 2008-2009 in pursuance of clause 66 & 67 of the Articles of Association of the company, subject to the approval at the forthcoming AGM by the shareholders. Date of AGM: 24.12.09, Time: 03:00 PM, Venue: Factory Premises of the Company, I.K. Road, Ishurdi, Pabna. Record Date: 01.12.09. The company has also reported Net Asset Value (NAV) per share of Tk. 39.16, Earning Per share (EPS) of Tk. (1.71) and Net Operating Cash Flow per share of Tk. 0.03 for the year ended on June 30, 2009.
SAMORITA HOSPITAL:The Board of Directors has recommended stock dividend @ 15% for the year 2008- 2009. The Company has also informed that an EGM will also be held to amend certain clauses of Memorandum and Articles of Association of the Company. Date of EGM & AGM: 07.01.10, Time of EGM & AGM: 10:00 AM & 11.00 AM respectively, Venue for EGM & AGM: LGED Auditorium, LGED Bhaban, Sher-e-Bangla Nagar, Agargaon, Dhaka. Record Date for EGM & AGM: 01.12.09. The company has also reported Net Asset Value (NAV) per share of Tk. 159.25, Earning Per share (EPS) of Tk. 31.94 and Net Operating Cash Flow per share of Tk. 48.11 for the year ended on June 30, 2009.
SEC body for keeping direct listing open to pvt firms with good records
FE Report
The consultative committee of the Securities and Exchange Commission (SEC) proposed Tuesday to keep the door open of the existing Direct Listing Regulations for the private companies with good fundamentals to float shares in the stock markets.
The consultative committee also made a proposal to bring down the maximum face value of a share to Tk 10 with a view to ensuring participation of a greater number of small investors in share trading.
"The proposal will be placed in the next meeting
of the commission," Mansur Alam, a member of the SEC, told the FE.
"It will be applicable to all companies to be listed in future," he added.
The committee also proposed that the size of a mutual fund in future must be Tk. 1.00 billion if any such fund wants to go for pre-IPO placement.
However, it also proposed to make a mechanism for stopping wild fluctuation of share prices of those companies on the debut day.
The proposals came against the backdrop of the Dhaka Stock Exchange's (DSE) recent decision not to list the private companies with the bourse.
"The committee proposed to continue the existing Direct Listing Regulations for private firms with good fundamentals," said Mansur Alam.
"The committee wants to ensure participation of those companies for the betterment of stock market," added.
The consultative committee of the Securities and Exchange Commission (SEC) proposed Tuesday to keep the door open of the existing Direct Listing Regulations for the private companies with good fundamentals to float shares in the stock markets.
The consultative committee also made a proposal to bring down the maximum face value of a share to Tk 10 with a view to ensuring participation of a greater number of small investors in share trading.
"The proposal will be placed in the next meeting
of the commission," Mansur Alam, a member of the SEC, told the FE.
"It will be applicable to all companies to be listed in future," he added.
The committee also proposed that the size of a mutual fund in future must be Tk. 1.00 billion if any such fund wants to go for pre-IPO placement.
However, it also proposed to make a mechanism for stopping wild fluctuation of share prices of those companies on the debut day.
The proposals came against the backdrop of the Dhaka Stock Exchange's (DSE) recent decision not to list the private companies with the bourse.
"The committee proposed to continue the existing Direct Listing Regulations for private firms with good fundamentals," said Mansur Alam.
"The committee wants to ensure participation of those companies for the betterment of stock market," added.
Dhaka stocks' rally continues
FE Report
Dhaka stocks continued to rally in the fluctuating market Tuesday with the benchmark index extending its highest mark for the second straight session.
The market started the session gaining nine points in the opening five minutes, but it lost 18 points within the next twenty-five minutes on pressure of selling of
mutual funds.
However, the market pulled back and seesawed but finished in the positive zone, lifted by energy, cement, IT and Aftab Automobiles.
The benchmark Dhaka Stock Exchange (DSE) General Index (DGEN) was up 17.72 points or 0.51 per cent to close at 3446.61, its highest mark from 3428.89 seen previous day.
The broader DSE All Shares Price Index (DSI) rose 12.33 points or 0.42 per cent to close at 2884.08 while DSE-20 blue chips index increased by 3.21 points or 0.13 per cent to 2316.22.
Dhaka stocks continued to rally in the fluctuating market Tuesday with the benchmark index extending its highest mark for the second straight session.
The market started the session gaining nine points in the opening five minutes, but it lost 18 points within the next twenty-five minutes on pressure of selling of
mutual funds.
However, the market pulled back and seesawed but finished in the positive zone, lifted by energy, cement, IT and Aftab Automobiles.
The benchmark Dhaka Stock Exchange (DSE) General Index (DGEN) was up 17.72 points or 0.51 per cent to close at 3446.61, its highest mark from 3428.89 seen previous day.
The broader DSE All Shares Price Index (DSI) rose 12.33 points or 0.42 per cent to close at 2884.08 while DSE-20 blue chips index increased by 3.21 points or 0.13 per cent to 2316.22.
Tuesday, November 10, 2009
DSE GENERAL INDEX & TURNOVER
10.11.09 TUES DAY
TURNOVER:▼Tk 8,671.57 million
DGEN:▲3446.61914
INDEX CHANGE:▲17.72159
ADVANCE :114
DECLINE :115
UNCHANGED:3
...................................................................................
09.11.09 MON DAY
TURNOVER:▼Tk 9,307.53 million
DGEN:▲3428.89755
INDEX CHANGE:▲17.41596
ADVANCE :92
DECLINE :143
UNCHANGED:1
TURNOVER:▼Tk 8,671.57 million
DGEN:▲3446.61914
INDEX CHANGE:▲17.72159
ADVANCE :114
DECLINE :115
UNCHANGED:3
...................................................................................
09.11.09 MON DAY
TURNOVER:▼Tk 9,307.53 million
DGEN:▲3428.89755
INDEX CHANGE:▲17.41596
ADVANCE :92
DECLINE :143
UNCHANGED:1
DSE NEWS HIGHLIGHTS AS ON 10.11.09 TUESDAY
TURNOVER:Today's (10.11.09) Total Trades: 128,205; Volume: 33,115,023 and Turnover: Tk. 8,671.57 million.
Expire Date: 2009-11-10
GEMINI SEAFOOD:The Board of Directors has recommended cash dividend @ 15% for the year ended on 30.09.09. Date of AGM: 12.12.09, Time: 1.15 PM, Venue: Factory Premises at Jabusha, Rupsha, Khulna. Book Closure: 26.11.09 to 03.12.09. The company has also reported total Export/Sales of Tk. 1,148.88 million, Net Profit of Tk. 11.25 million, Net Asset Value (NAV) of Tk. (11.18) m., Earning Per share (EPS) of Tk. 25.57 and Net Operating Cash Flow per share of Tk. 726.96 for the year ended on September 30, 2009. The company has also informed that 27,370 nos. of company's shares from ICB to be distributed among the shareholders on pro-rata basis whose names are recorded in the record period.
RENWICK JAGESWAR:As per audited accounts as on 30.06.09, the company has reported net profit of Tk. 7.11 m. with EPS of Tk. 35.57 as against Tk 6.16 m. and Tk. 30.79 respectively as on 30.06.08. Accumulated loss of the company was Tk. (74.72) m. as on 30.06.09.
NORTHRN INSURANCE:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 25.05 million with EPS of Tk. 14.52
RELIANCE INS:The company has informed that the Board of Directors has approved revaluation of the company's land at Bir Uttam A. K. Khandker Sarak, C. W. S. (C) 11, Gulshan, Dhaka-1212 to taka 31,83,25,000.00 from taka 17,38,24,890.00. The revaluation was conducted by Asian Surveyors Ltd.
EASTRN LUBRICANTS:The Board of Directors has recommended cash dividend @ 25% (Tk. 2.50 per share) for the year 2008-2009. Date of AGM: 30.01.10, Time: 11:30 AM, Venue: Padma Bhaban, Strand Road, Sadarghat, Chittagong. Book closure: 26.11.09 to 03.12.09.
SHYAMP SUGAR:As per audited accounts as on 30.06.09, the Company has reported net loss of Tk. (133.45) m. with EPS of Tk. (26.69) as against Tk. (104.58) m. and Tk. (20.92) respectively as on 30.06.08. Accumulated loss of the Company was Tk. (1,305.52) m. as on 30.06.09.
APEX FOODS:The company has reported turnover of Tk. 400.78 million, gross profit of Tk. 46.34 million, net profit after tax of Tk. 2.44 million and Basic EPS of Tk. 4.27 for the 1st quarter ended on 30th September 2009.
PUBALI BANK:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the Bank has reported net profit after tax of Tk. 1,414.63 million with EPS of Tk. 37.01 as against Tk. 1,219.96 million and Tk. 31.92 (restated) respectively for the same period of the previous year.
Expire Date: 2009-11-10
GEMINI SEAFOOD:The Board of Directors has recommended cash dividend @ 15% for the year ended on 30.09.09. Date of AGM: 12.12.09, Time: 1.15 PM, Venue: Factory Premises at Jabusha, Rupsha, Khulna. Book Closure: 26.11.09 to 03.12.09. The company has also reported total Export/Sales of Tk. 1,148.88 million, Net Profit of Tk. 11.25 million, Net Asset Value (NAV) of Tk. (11.18) m., Earning Per share (EPS) of Tk. 25.57 and Net Operating Cash Flow per share of Tk. 726.96 for the year ended on September 30, 2009. The company has also informed that 27,370 nos. of company's shares from ICB to be distributed among the shareholders on pro-rata basis whose names are recorded in the record period.
RENWICK JAGESWAR:As per audited accounts as on 30.06.09, the company has reported net profit of Tk. 7.11 m. with EPS of Tk. 35.57 as against Tk 6.16 m. and Tk. 30.79 respectively as on 30.06.08. Accumulated loss of the company was Tk. (74.72) m. as on 30.06.09.
NORTHRN INSURANCE:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 25.05 million with EPS of Tk. 14.52
RELIANCE INS:The company has informed that the Board of Directors has approved revaluation of the company's land at Bir Uttam A. K. Khandker Sarak, C. W. S. (C) 11, Gulshan, Dhaka-1212 to taka 31,83,25,000.00 from taka 17,38,24,890.00. The revaluation was conducted by Asian Surveyors Ltd.
EASTRN LUBRICANTS:The Board of Directors has recommended cash dividend @ 25% (Tk. 2.50 per share) for the year 2008-2009. Date of AGM: 30.01.10, Time: 11:30 AM, Venue: Padma Bhaban, Strand Road, Sadarghat, Chittagong. Book closure: 26.11.09 to 03.12.09.
SHYAMP SUGAR:As per audited accounts as on 30.06.09, the Company has reported net loss of Tk. (133.45) m. with EPS of Tk. (26.69) as against Tk. (104.58) m. and Tk. (20.92) respectively as on 30.06.08. Accumulated loss of the Company was Tk. (1,305.52) m. as on 30.06.09.
APEX FOODS:The company has reported turnover of Tk. 400.78 million, gross profit of Tk. 46.34 million, net profit after tax of Tk. 2.44 million and Basic EPS of Tk. 4.27 for the 1st quarter ended on 30th September 2009.
PUBALI BANK:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the Bank has reported net profit after tax of Tk. 1,414.63 million with EPS of Tk. 37.01 as against Tk. 1,219.96 million and Tk. 31.92 (restated) respectively for the same period of the previous year.
GP share trading by early next week
FE Report
Share trading of Grameenphone will begin by early next week in the country's bourses.
The issuer has recently submitted application for listing with the Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE), sources said.
"Share trading of the GP issue might begin early next week," said an official.
Top mobile phone operator, GP raised Tk 4.86 billion through the sale of 69.44 million shares to the public and the same amount by selling similar stakes to institutional investors such as banks, insurances and mutual funds.
The Securities and Exchange Commission, on Aug 20, cleared the GP to float ordinary shares of Tk 10 each, in addition to a Tk 60 premium per share.
Lottery draw for share allotment of the GP was held on October 29. The venue was abuzz with hundreds of aspirants, who gathered there early in the morning as the GP initial public offering (IPO) fired them up since its plan to go public.
Out of the total of 312,501 shares, local investors were allocated 277,757, a further 34,720 went to non-resident Bangladeshis and 24 to the mutual funds, according to the figures provided by the GP.
The pre-IPO or private placement of Tk 4.86 million was completed in December last year.
GP's IPO subscriptions opened on Oct 4 and closed on Oct 8 for locals. Non-resident Bangladeshis (NRBs) had until Oct 18.
Norway's telecom giant Telenor owns 62 percent of Grameenphone, launched in 1997, while the local Grameen Telecom owns the rest.
Share trading of Grameenphone will begin by early next week in the country's bourses.
The issuer has recently submitted application for listing with the Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE), sources said.
"Share trading of the GP issue might begin early next week," said an official.
Top mobile phone operator, GP raised Tk 4.86 billion through the sale of 69.44 million shares to the public and the same amount by selling similar stakes to institutional investors such as banks, insurances and mutual funds.
The Securities and Exchange Commission, on Aug 20, cleared the GP to float ordinary shares of Tk 10 each, in addition to a Tk 60 premium per share.
Lottery draw for share allotment of the GP was held on October 29. The venue was abuzz with hundreds of aspirants, who gathered there early in the morning as the GP initial public offering (IPO) fired them up since its plan to go public.
Out of the total of 312,501 shares, local investors were allocated 277,757, a further 34,720 went to non-resident Bangladeshis and 24 to the mutual funds, according to the figures provided by the GP.
The pre-IPO or private placement of Tk 4.86 million was completed in December last year.
GP's IPO subscriptions opened on Oct 4 and closed on Oct 8 for locals. Non-resident Bangladeshis (NRBs) had until Oct 18.
Norway's telecom giant Telenor owns 62 percent of Grameenphone, launched in 1997, while the local Grameen Telecom owns the rest.
UCBL sent to OTC market as SEC helpless over writ
FE Report
The securities regulator had sent the United Commercial Bank Limited (UCBL) to the Over-the-Counter (OTC) market for trading of its shares, as the Securities and Exchange Commission (SEC) was helpless about disposal of a writ concerning the bank, a high official said.
"Shares of this company are not like those of other 'Z" category companies so that these can be traded in the OTC market," a high official of the Securities and Exchange Commission (SEC) told the FE.
"We talked to the concerned persons representing the petitioner and the respondent to pave the way for disposal of the writ petition on the UCBL. But due to no progress in disposal of the writ, we sent the company to the OTC market," the official added.
"Our company has good fundamentals. But thousands of shareholders have fallen victim to the writ petition filed with the Supreme Court with an ulterior motive. We are still optimistic about trading in UCBL shares in the normal process as a listed company of the DSE," Jamilur Rahman, a general shareholder of the UCBL told the FE.
The OTC market was launched on September 6 last. Later the SEC published a list of 51 de-listed companies including UCBL on October 1 under the
Securities and Exchange Commission (Over-the-Counter) Rules, 2001 as per SEC directive.
However, 21 shareholders of individual companies placed sale orders for their shares. But only two shareholders were able to sell their shares. No shareholders of the UCBL placed sale orders at the OTC market.
The securities regulator had sent the United Commercial Bank Limited (UCBL) to the Over-the-Counter (OTC) market for trading of its shares, as the Securities and Exchange Commission (SEC) was helpless about disposal of a writ concerning the bank, a high official said.
"Shares of this company are not like those of other 'Z" category companies so that these can be traded in the OTC market," a high official of the Securities and Exchange Commission (SEC) told the FE.
"We talked to the concerned persons representing the petitioner and the respondent to pave the way for disposal of the writ petition on the UCBL. But due to no progress in disposal of the writ, we sent the company to the OTC market," the official added.
"Our company has good fundamentals. But thousands of shareholders have fallen victim to the writ petition filed with the Supreme Court with an ulterior motive. We are still optimistic about trading in UCBL shares in the normal process as a listed company of the DSE," Jamilur Rahman, a general shareholder of the UCBL told the FE.
The OTC market was launched on September 6 last. Later the SEC published a list of 51 de-listed companies including UCBL on October 1 under the
Securities and Exchange Commission (Over-the-Counter) Rules, 2001 as per SEC directive.
However, 21 shareholders of individual companies placed sale orders for their shares. But only two shareholders were able to sell their shares. No shareholders of the UCBL placed sale orders at the OTC market.
SEC to appeal against HC's MF verdict
FE Report
Securities and Exchange Commission (SEC) supplied their lawyer necessary documents to appeal in the Appellate Division against the High Court's (HC) mutual funds (MF) verdict, one SEC member said Monday.
"Today Advocate Mahmudul Islam has not gone to the Appellate Division. He can go within two days to appeal against the verdict," a
source of High Court said.
"It is a matter of our lawyer. We have authorised him to go to the Appellate Division, and he will do it duly," SEC chairman Md Ziaul Haq Khandaker told the FE Monday.
"Without having the copy of the verdict we cannot comment on it. Our lawyer is taking preparation to appeal against the High Court verdict," SEC member Md Anisuzzaman said.
The High Court Sunday allowed the mutual funds to increase their size by issuing bonus and rights shares, without curbing the securities regulator's absolute power to determine which funds would be eligible to expand their capital base and which not.
At the same time the court has suspended "operation of the judgment" for a week, allowing the SEC enough time to appeal against the verdict in the Supreme Court.
Securities and Exchange Commission (SEC) supplied their lawyer necessary documents to appeal in the Appellate Division against the High Court's (HC) mutual funds (MF) verdict, one SEC member said Monday.
"Today Advocate Mahmudul Islam has not gone to the Appellate Division. He can go within two days to appeal against the verdict," a
source of High Court said.
"It is a matter of our lawyer. We have authorised him to go to the Appellate Division, and he will do it duly," SEC chairman Md Ziaul Haq Khandaker told the FE Monday.
"Without having the copy of the verdict we cannot comment on it. Our lawyer is taking preparation to appeal against the High Court verdict," SEC member Md Anisuzzaman said.
The High Court Sunday allowed the mutual funds to increase their size by issuing bonus and rights shares, without curbing the securities regulator's absolute power to determine which funds would be eligible to expand their capital base and which not.
At the same time the court has suspended "operation of the judgment" for a week, allowing the SEC enough time to appeal against the verdict in the Supreme Court.
Dhaka stocks move higher
FE Report
Dhaka stocks edged higher Monday, led by financial institutions and mutual funds, after slight fall Sunday.
The market fell marginally in early trading but, after five minutes, was back into the gear as the benchmark index gained 35 points, pulled by banks and mutual funds.
The benchmark Dhaka Stock Exchange (DSE) General Index (DGEN) gained 17.41 points or 0.51 per cent to close at 3428.89, which was a new high.
The broader DSE All Shares Price Index (DSI) moved up 14.38 points or 0.50 per cent to close at 2871.75 while DSE-20 blue chips index rose 10.24 points or 0.44 per cent to close at 2313.01.
However, prices of the majority issues went down on price correction and because of cautious move taken by the investors on High Court's allowing the close-end mutual funds to issue bonus and rights shares by fund managers without curbing the securities regulator's absolute power.
The daily turnover dropped sharply as the investors remained on the sideline in putting money on some stocks, brokers said. It stood at Tk 9.31 billion, down nine per cent from that of the previous session.
Prices of most of the issues declined as out of 236 issues traded, 92 went into the positive territory, 143 moved down and one remained unchanged.
"Mutual funds sector was the market mover on the day, with an overall gain of almost four per cent," said BRAC-EPL Investment Ltd, an investment bank, in its market analysis.
All but one of the mutual funds traded in the green on news of the High Court's decision to allow closed-end mutual funds to issue bonus shares or rights issues.
The banks, except Dhaka Bank, nudged higher, reversing their losing streak over the weeks, with Dutch-Bangla Bank gaining highest of six per cent. Most of the non-banking financial institutions declined. However, the sector finished positive due to increase in heavyweights ICB and LankaBangla Finance.
Most of the pharmaceutical companies dropped. But Beximco Pharma and Renata advanced marginally.
The energy sector was also down with all of the companies trading negative except Jamuna Oil which rose 0.76 per cent.
The cement and insurance sectors were down while among the multinationals, Berger Paints, BATBC and BOC declined while Singer gained more than five per cent.
State-owned gas distribution company Titas Gas topped the turnover list with shares worth Tk 612.84 million traded.
Other leading turnover leaders were AB Bank, Jamuna Oil, Summit Power, Beximco, Bextex, AIMS First Mutual Fund, Uttara Finance, Summit Alliance Port Ltd and DESCO.
Premier Leasing, a non-banking financial institution, was the largest gainer posting a rise of 9.36 per cent.
It was followed by Aftab Automobiles, 3rd ICB, 4the ICB, Rahim Textile, 8th ICB, Grameen One Mutual Fund, Dutch Bangla Bank, Grameen Scheme Two Mutual Fund and Uttara Bank.
Northern Insurance, Modern Dyeing, Meghna Pet, Monno Stafflers, Orion Infusion, BD Welding, Eastern Lubricants, Fine Foods and TBL were the major losers.
Dhaka stocks edged higher Monday, led by financial institutions and mutual funds, after slight fall Sunday.
The market fell marginally in early trading but, after five minutes, was back into the gear as the benchmark index gained 35 points, pulled by banks and mutual funds.
The benchmark Dhaka Stock Exchange (DSE) General Index (DGEN) gained 17.41 points or 0.51 per cent to close at 3428.89, which was a new high.
The broader DSE All Shares Price Index (DSI) moved up 14.38 points or 0.50 per cent to close at 2871.75 while DSE-20 blue chips index rose 10.24 points or 0.44 per cent to close at 2313.01.
However, prices of the majority issues went down on price correction and because of cautious move taken by the investors on High Court's allowing the close-end mutual funds to issue bonus and rights shares by fund managers without curbing the securities regulator's absolute power.
The daily turnover dropped sharply as the investors remained on the sideline in putting money on some stocks, brokers said. It stood at Tk 9.31 billion, down nine per cent from that of the previous session.
Prices of most of the issues declined as out of 236 issues traded, 92 went into the positive territory, 143 moved down and one remained unchanged.
"Mutual funds sector was the market mover on the day, with an overall gain of almost four per cent," said BRAC-EPL Investment Ltd, an investment bank, in its market analysis.
All but one of the mutual funds traded in the green on news of the High Court's decision to allow closed-end mutual funds to issue bonus shares or rights issues.
The banks, except Dhaka Bank, nudged higher, reversing their losing streak over the weeks, with Dutch-Bangla Bank gaining highest of six per cent. Most of the non-banking financial institutions declined. However, the sector finished positive due to increase in heavyweights ICB and LankaBangla Finance.
Most of the pharmaceutical companies dropped. But Beximco Pharma and Renata advanced marginally.
The energy sector was also down with all of the companies trading negative except Jamuna Oil which rose 0.76 per cent.
The cement and insurance sectors were down while among the multinationals, Berger Paints, BATBC and BOC declined while Singer gained more than five per cent.
State-owned gas distribution company Titas Gas topped the turnover list with shares worth Tk 612.84 million traded.
Other leading turnover leaders were AB Bank, Jamuna Oil, Summit Power, Beximco, Bextex, AIMS First Mutual Fund, Uttara Finance, Summit Alliance Port Ltd and DESCO.
Premier Leasing, a non-banking financial institution, was the largest gainer posting a rise of 9.36 per cent.
It was followed by Aftab Automobiles, 3rd ICB, 4the ICB, Rahim Textile, 8th ICB, Grameen One Mutual Fund, Dutch Bangla Bank, Grameen Scheme Two Mutual Fund and Uttara Bank.
Northern Insurance, Modern Dyeing, Meghna Pet, Monno Stafflers, Orion Infusion, BD Welding, Eastern Lubricants, Fine Foods and TBL were the major losers.
NRB quota in IPOs likely to go up
FE Report
Finance Minister AMA Muhith said Monday the government may raise the existing quota in the initial public offering (IPO) for Bangladeshi expatriates based on their demand for the same.
"We will consider increasing the present 10 per cent quota for non-resident Bangladeshis (NRBs) in IPOs if their demand goes up," Mr Muhith said during a meeting with members of the Bangladesh British Chamber of Commerce (BBCC), led by its Chairman Shahagir Bakth Faruk, at the Secretariat.
The finance minister's observation came after the members of the visiting trade delegation sought Bangladesh government steps for facilitating NRBs' investment in the country's capital market.
Responding to another observation, the finance minister said the government will come up with a package of invectives for boosting investment in the country's shipbuilding industry.
"It (shipbuilding) is an emerging industry of Bangladesh where you can invest," the finance minister told the delegates.
He also went on: "Our incentives are very good. The government has already offered tax exemption and tax-holiday facilities to some sectors like power and energy and readymade garment," Mr Muhith said.
He, however, urged the BBCC trade delegation to invest more in Bangladesh, especially in the fields of power and energy, healthcare, transportation, human development and tourism.
Referring to the existing power and energy situation of Bangladesh, the finance minister also told the trade representative: "You can see how to invest more in power and energy sector... it will be helpful for us."
The government has already initiated a public private partnership (PPP) for the development of infrastructure sector in Bangladesh, Mr Muhith said, adding that the private investors - both local and foreign - can take advantage of it.
Following a proposal made by the BBCC delegate for constituting a 'Spice Board' with a view to helping boost Bangladesh's exports of spices to the ever-growing UK market, Mr Muhith expressed his government's willingness to consider such proposal.
They informed the finance minister that such board is necessary for exporting Bangladesh's spices to the UK, as has been constituted in India.
The BBCC chairman said the trade delegation has come to Bangladesh for exploring the investment opportunity here, and also strengthening further the trade and investment relations between UK and Bangladesh.
"We are keen to boost the bilateral relations between UK and Bangladesh, especially in the areas of trade and investment," Mr. Faruk said.
Finance Minister AMA Muhith said Monday the government may raise the existing quota in the initial public offering (IPO) for Bangladeshi expatriates based on their demand for the same.
"We will consider increasing the present 10 per cent quota for non-resident Bangladeshis (NRBs) in IPOs if their demand goes up," Mr Muhith said during a meeting with members of the Bangladesh British Chamber of Commerce (BBCC), led by its Chairman Shahagir Bakth Faruk, at the Secretariat.
The finance minister's observation came after the members of the visiting trade delegation sought Bangladesh government steps for facilitating NRBs' investment in the country's capital market.
Responding to another observation, the finance minister said the government will come up with a package of invectives for boosting investment in the country's shipbuilding industry.
"It (shipbuilding) is an emerging industry of Bangladesh where you can invest," the finance minister told the delegates.
He also went on: "Our incentives are very good. The government has already offered tax exemption and tax-holiday facilities to some sectors like power and energy and readymade garment," Mr Muhith said.
He, however, urged the BBCC trade delegation to invest more in Bangladesh, especially in the fields of power and energy, healthcare, transportation, human development and tourism.
Referring to the existing power and energy situation of Bangladesh, the finance minister also told the trade representative: "You can see how to invest more in power and energy sector... it will be helpful for us."
The government has already initiated a public private partnership (PPP) for the development of infrastructure sector in Bangladesh, Mr Muhith said, adding that the private investors - both local and foreign - can take advantage of it.
Following a proposal made by the BBCC delegate for constituting a 'Spice Board' with a view to helping boost Bangladesh's exports of spices to the ever-growing UK market, Mr Muhith expressed his government's willingness to consider such proposal.
They informed the finance minister that such board is necessary for exporting Bangladesh's spices to the UK, as has been constituted in India.
The BBCC chairman said the trade delegation has come to Bangladesh for exploring the investment opportunity here, and also strengthening further the trade and investment relations between UK and Bangladesh.
"We are keen to boost the bilateral relations between UK and Bangladesh, especially in the areas of trade and investment," Mr. Faruk said.
Monday, November 9, 2009
DSE GENERAL INDEX & TURNOVER
09.11.09 MON DAY
TURNOVER:▼Tk 9,307.53 million
DGEN:▲3428.89755
INDEX CHANGE:▲17.41596
ADVANCE :92
DECLINE :143
UNCHANGED:1
....................................................................................
08.11.09 SUN DAY
TURNOVER:▲Tk 10,202.49 million
DGEN:▼3411.48159
INDEX CHANGE:▼2.0455
ADVANCE :71
DECLINE :165
UNCHANGED:1
TURNOVER:▼Tk 9,307.53 million
DGEN:▲3428.89755
INDEX CHANGE:▲17.41596
ADVANCE :92
DECLINE :143
UNCHANGED:1
....................................................................................
08.11.09 SUN DAY
TURNOVER:▲Tk 10,202.49 million
DGEN:▼3411.48159
INDEX CHANGE:▼2.0455
ADVANCE :71
DECLINE :165
UNCHANGED:1
DSE NEWS HIGHLIGHTS AS ON 09.11.09 MONDAY
TURNOVER:Today's (09.11.09) Total Trades: 147,198; Volume: 43,582,583 and Turnover: Tk. 9,307.53 million.
ICB:As per audited accounts as on 30.06.09, the Corporation has reported consolidated profit after tax of Tk. 1,658.30 m. with basic EPS (consolidated) of Tk. 165.83 as against Tk. 1,571.49 m. and Tk. 157.15 (restated) respectively as on 30.06.08. However considering 100% proposed bonus share, diluted EPS (consolidated) will be Tk. 82.92 as on 30.06.09 as against Tk. 78.57 (restated) as on 30.06.08.
TRAINING PROGRAM:A Training Program titled "Orientation program on OTC Market for General Investor" organized by DSE training academy, offered to the General Investor of Capital Market. The program is conveniently planned to be held on November 18, 2009. Registration for the Program is going on with the Academy at a cost of Tk. 500 per participant. Interested participants are requested to reserve seat by early registration on first come first serve basis. Last date of Registration is November 15, 2009. For further queries, please contact DSE Training Academy at Tel: 9564601, Ex-157.
S.ALAM CR COIL:Trading of the shares of the company will be allowed only in the Spot Market and Block/Odd lot transactions will also be settled as per Spot settlement cycle from 10.11.09 to 12.11.09. Trading of the shares of the company will remain suspended on record date i.e. 15.11.09 for EGM. It is to be noted here that the shareholders whose name will appear in the Share Register of the company or in the Depository Register on that date will be entitled to attend at the EGM. It is also to be mentioned here that as per serial no. 5 of the notice of the EGM of the company Shareholders on Record date on 15 November, 2009 will have the prerogative to subscribe for 21,33,792 Preference Shares on a 10:4 basis, i.e., shareholders holding 10 existing Ordinary Shares will have the prerogative to subscribe for 4 Preference Share within 10th January 2010 subject to approval of the shareholders in the EGM and SEC's consent.
EBL 1ST MF:On the close of operation on November 5, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 10.75 per unit at market price basis and Tk. 10.64 at cost price basis against face value of Tk. 10.00, whereas Net Assets of the Fund stood at Tk. 107,45,94,907.53 based on market price and Tk. 106,38,81,842.28 based on cost price.
Expire Date: 2009-11-09
USMANIA GLASS:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July to September), the company has reported net profit after tax of Tk. 3.49 million with EPS of Tk. 6.14 as against Tk. 11.62 million and Tk. 20.43 respectively for the same period of the previous year. Turnover & other income and cost of goods sold of the company was Tk. 62.73 million and Tk. 52.30 million respectively for the 1st quarter ended on 30th September 2009 (July to September) as against Tk. 70.17 million and Tk. 48.40 million respectively for the same period of the previous year.
ASIA PACIFIC INSURANCE:The company has informed that the Board of Directors of the company has decided that the company will take reasonable steps to get certificate of registration for Merchant Banking and to purchase the Membership of the Chittagong Stock Exchange for the interest of the company.
GREEN DELTA INS:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported consolidated net profit after tax of Tk. 230.65 million with consolidated EPS of Tk. 56.50.
ANLIMA YARN:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 1.56 million with EPS of Tk. 0.87 as against net loss of Tk. (0.32) million and EPS of Tk. (0.18) for the same period of the previous year.
AB BANK:The Bank has informed that Bangladesh Bank vide its letter dated November 08, 2009 has approved formation of the following subsidiary companies under AB Bank Limited: a) AB Merchant Bank Limited and b) AB Securities Limited.
EBL:The Bank has informed that the Board of Directors has taken the following decisions: 1. " Subject to obtaining of prior approval from the respective Regulatory Authorities, Eastern Bank Limited (EBL) shall form/establish a Subsidiary Company in the name and style of 'EBL Investments Limited' (Proposed) to conduct merchant Banking Operations." 2. Revised structure of the previously decided 'EBL NRB Mutual Fund' will be as follows: Fund Size: Tk. 1,500.00 million, Sponsor Participation: Tk. 150.00 million (10%) and IPO: Tk. 750.00 million (50%).
SEC NEWS(Repeat): This is for information of all concerned that at the present scenario of the Capital Market, involvement of a lot of small and new investors is observed which is certainly very much encouraging. But it is a matter of great concern that a part of these investors are tempting towards investment without considering appropriate, timely and accurate knowledge of different aspects of the capital market and analyzing information but based on rumor, hearsay and various comments of different parties; which may leave their hard earned capital into risk. As a result, this may erode the confidence of these investors and also be a hindrance for the incessant and steady development of the capital market.
In this regard, SEC vide its circular No. SEC/SRMIC/94-231/344 dated October 21, 2009 requested all concerned persons including employees of the institutions affiliated with Stock Exchange and Market Intermediaries i.e., Stock Broker/Dealer, Asset Manager, Merchant Banker and Issuer Companies to abstain from giving any opinion and comments which may create extra-courage or confusion among the investors for the growing capital market and for the long-term and greater interest of Investors.
ICB:As per audited accounts as on 30.06.09, the Corporation has reported consolidated profit after tax of Tk. 1,658.30 m. with basic EPS (consolidated) of Tk. 165.83 as against Tk. 1,571.49 m. and Tk. 157.15 (restated) respectively as on 30.06.08. However considering 100% proposed bonus share, diluted EPS (consolidated) will be Tk. 82.92 as on 30.06.09 as against Tk. 78.57 (restated) as on 30.06.08.
TRAINING PROGRAM:A Training Program titled "Orientation program on OTC Market for General Investor" organized by DSE training academy, offered to the General Investor of Capital Market. The program is conveniently planned to be held on November 18, 2009. Registration for the Program is going on with the Academy at a cost of Tk. 500 per participant. Interested participants are requested to reserve seat by early registration on first come first serve basis. Last date of Registration is November 15, 2009. For further queries, please contact DSE Training Academy at Tel: 9564601, Ex-157.
S.ALAM CR COIL:Trading of the shares of the company will be allowed only in the Spot Market and Block/Odd lot transactions will also be settled as per Spot settlement cycle from 10.11.09 to 12.11.09. Trading of the shares of the company will remain suspended on record date i.e. 15.11.09 for EGM. It is to be noted here that the shareholders whose name will appear in the Share Register of the company or in the Depository Register on that date will be entitled to attend at the EGM. It is also to be mentioned here that as per serial no. 5 of the notice of the EGM of the company Shareholders on Record date on 15 November, 2009 will have the prerogative to subscribe for 21,33,792 Preference Shares on a 10:4 basis, i.e., shareholders holding 10 existing Ordinary Shares will have the prerogative to subscribe for 4 Preference Share within 10th January 2010 subject to approval of the shareholders in the EGM and SEC's consent.
EBL 1ST MF:On the close of operation on November 5, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 10.75 per unit at market price basis and Tk. 10.64 at cost price basis against face value of Tk. 10.00, whereas Net Assets of the Fund stood at Tk. 107,45,94,907.53 based on market price and Tk. 106,38,81,842.28 based on cost price.
Expire Date: 2009-11-09
USMANIA GLASS:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009 (July to September), the company has reported net profit after tax of Tk. 3.49 million with EPS of Tk. 6.14 as against Tk. 11.62 million and Tk. 20.43 respectively for the same period of the previous year. Turnover & other income and cost of goods sold of the company was Tk. 62.73 million and Tk. 52.30 million respectively for the 1st quarter ended on 30th September 2009 (July to September) as against Tk. 70.17 million and Tk. 48.40 million respectively for the same period of the previous year.
ASIA PACIFIC INSURANCE:The company has informed that the Board of Directors of the company has decided that the company will take reasonable steps to get certificate of registration for Merchant Banking and to purchase the Membership of the Chittagong Stock Exchange for the interest of the company.
GREEN DELTA INS:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported consolidated net profit after tax of Tk. 230.65 million with consolidated EPS of Tk. 56.50.
ANLIMA YARN:As per un-audited quarterly accounts for the 1st quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 1.56 million with EPS of Tk. 0.87 as against net loss of Tk. (0.32) million and EPS of Tk. (0.18) for the same period of the previous year.
AB BANK:The Bank has informed that Bangladesh Bank vide its letter dated November 08, 2009 has approved formation of the following subsidiary companies under AB Bank Limited: a) AB Merchant Bank Limited and b) AB Securities Limited.
EBL:The Bank has informed that the Board of Directors has taken the following decisions: 1. " Subject to obtaining of prior approval from the respective Regulatory Authorities, Eastern Bank Limited (EBL) shall form/establish a Subsidiary Company in the name and style of 'EBL Investments Limited' (Proposed) to conduct merchant Banking Operations." 2. Revised structure of the previously decided 'EBL NRB Mutual Fund' will be as follows: Fund Size: Tk. 1,500.00 million, Sponsor Participation: Tk. 150.00 million (10%) and IPO: Tk. 750.00 million (50%).
SEC NEWS(Repeat): This is for information of all concerned that at the present scenario of the Capital Market, involvement of a lot of small and new investors is observed which is certainly very much encouraging. But it is a matter of great concern that a part of these investors are tempting towards investment without considering appropriate, timely and accurate knowledge of different aspects of the capital market and analyzing information but based on rumor, hearsay and various comments of different parties; which may leave their hard earned capital into risk. As a result, this may erode the confidence of these investors and also be a hindrance for the incessant and steady development of the capital market.
In this regard, SEC vide its circular No. SEC/SRMIC/94-231/344 dated October 21, 2009 requested all concerned persons including employees of the institutions affiliated with Stock Exchange and Market Intermediaries i.e., Stock Broker/Dealer, Asset Manager, Merchant Banker and Issuer Companies to abstain from giving any opinion and comments which may create extra-courage or confusion among the investors for the growing capital market and for the long-term and greater interest of Investors.
Stock prices fall marginally
FE Report
Stock prices fell marginally Sunday with both the DGEN and the DSI losing fractionally, while the DSE-20 gained slightly.
Total turnover, however, again crossed Tk 10.0 billion-mark, 20.7 per cent up against the previous trading day.
All the mutual funds declined, with the whole
sector losing 5.01 per cent on the news of the verdict of the long-awaited case.
Shares worth Tk 10.2 billion (USD 148.1 million) were traded on the first trading day of the week. Out of 237 traded issues, 71 gained, 165 declined and one remained unchanged.
The market started positively gaining about 18 points in the opening five minutes.
The momentum was halted in the next ten minutes, but the market pushed forward in the next fifteen minutes to reach the maximum value for the entire session at 3,441 points.
The market declined to 3,427 mark in the next half an hour, though it recovered steadily in the next seventy minutes. From that point onwards the market kept on loosing on profit taking, with slight recoveries in between, and reached as low as 3,408 with ten minutes to the end of the session. The market gained little at the close of the trading to finish at 3,411.48 mark.
The banking sector carried forward the momentum of the last week, gaining 2.00 per cent. All the banks, except three, advanced with Dutch-Bangla Bank (7.81 per cent) and Uttara Bank (5.58 per cent) being the biggest gainers.
Stock prices fell marginally Sunday with both the DGEN and the DSI losing fractionally, while the DSE-20 gained slightly.
Total turnover, however, again crossed Tk 10.0 billion-mark, 20.7 per cent up against the previous trading day.
All the mutual funds declined, with the whole
sector losing 5.01 per cent on the news of the verdict of the long-awaited case.
Shares worth Tk 10.2 billion (USD 148.1 million) were traded on the first trading day of the week. Out of 237 traded issues, 71 gained, 165 declined and one remained unchanged.
The market started positively gaining about 18 points in the opening five minutes.
The momentum was halted in the next ten minutes, but the market pushed forward in the next fifteen minutes to reach the maximum value for the entire session at 3,441 points.
The market declined to 3,427 mark in the next half an hour, though it recovered steadily in the next seventy minutes. From that point onwards the market kept on loosing on profit taking, with slight recoveries in between, and reached as low as 3,408 with ten minutes to the end of the session. The market gained little at the close of the trading to finish at 3,411.48 mark.
The banking sector carried forward the momentum of the last week, gaining 2.00 per cent. All the banks, except three, advanced with Dutch-Bangla Bank (7.81 per cent) and Uttara Bank (5.58 per cent) being the biggest gainers.
HC allows mutual funds to issue rights, bonus shares
SEC given liberty to decide on raising capital
FE Report
The High Court Sunday allowed mutual funds to raise their size by issuing bonus and rights, without curbing the securities regulator's absolute power to determine which funds would be eligible to expand capital base.
A High Court division bench comprising Justice Syed Mahmud Hossain and Justice Kamrul Islam Siddiqui gave the verdict, overturning June 2008 order of the Securities and Exchange Commission (SEC) following a writ petition by three investors.
"The judges ruled that the SEC's decision to bar the existing close-end mutual funds from issuing bonus and rights is unlawful," Shafiqur Rahman, a barrister at Dr. Zahir and Associates, said.
It means the mutual funds can now raise their capital base, provided that they get clearance from the SEC, he said, adding the verdict would be applicable for only those funds that were listed at the time of the regulator's order.
"In its ruling the High Court bench said that the SEC will be at liberty to allow or disallow the existing mutual funds to issue bonus and right shares," he said. "I think it's a split victory for the petitioners."
The court however has suspended "operation of the judgment" for a week, allowing the securities regulator enough time to appeal against the verdict in the country's Supreme Court.
"We will go to the Appellate Division (of the Supreme Court) to appeal against the ruling," Anwarul Kabir Bhuiyan, a spokesman and executive director of SEC told the FE.
"I have prayed for one week and the court has give us time. I will go to the Appellate Division if the SEC agrees," Mahmudul Islam, the lawyer of SEC, said after the verdict.
Experts said all eight mutual funds of the state-owned Investment Corporation of Bangladesh (ICB), AIMS and BSRS would be benefited by the verdict, although the ruling
could lead to manipulation by some funds.
"Especially, it's a good news for the ICB funds whose sizes are very small. I think the ruling paves the way for ICB to expand capital base of their existing funds," an expert said, speaking on condition of anonymity.
There will be some impact in the market this week, but it won't be large-scale because SEC's power has been kept intact to decide whether or not a mutual fund can raise its capital, he added.
In the capital market there are 19 close-end mutual funds approved by SEC. Among them, only the First ICB mutual fund issued 50 per cent bonus shares and AIMS First mutual fund issued 20 percent bonus shares in the last two years.
Investors who have been eagerly anticipating a favourable ruling on the case expressed their delight at the judgment.
"It's our victory," Ariful Islam, a general investor said after the delivery of verdict in the court. "We think we'll win even if the SEC makes appeal to the appellate division."
Investors filed the writ petition to the High Court in July last year challenging the SEC's amendment of rule number 66 a month back that barred fund managers from issuing rights or bonus shares.
SEC officials said they made the amendment, as they feared that some fund managers would try to exploit investors' sentiment by issuing rights and bonus shares.
Immediately after the writ petition, the court had directed all the listed mutual funds not to declare dividends until its disposal.
FE Report
The High Court Sunday allowed mutual funds to raise their size by issuing bonus and rights, without curbing the securities regulator's absolute power to determine which funds would be eligible to expand capital base.
A High Court division bench comprising Justice Syed Mahmud Hossain and Justice Kamrul Islam Siddiqui gave the verdict, overturning June 2008 order of the Securities and Exchange Commission (SEC) following a writ petition by three investors.
"The judges ruled that the SEC's decision to bar the existing close-end mutual funds from issuing bonus and rights is unlawful," Shafiqur Rahman, a barrister at Dr. Zahir and Associates, said.
It means the mutual funds can now raise their capital base, provided that they get clearance from the SEC, he said, adding the verdict would be applicable for only those funds that were listed at the time of the regulator's order.
"In its ruling the High Court bench said that the SEC will be at liberty to allow or disallow the existing mutual funds to issue bonus and right shares," he said. "I think it's a split victory for the petitioners."
The court however has suspended "operation of the judgment" for a week, allowing the securities regulator enough time to appeal against the verdict in the country's Supreme Court.
"We will go to the Appellate Division (of the Supreme Court) to appeal against the ruling," Anwarul Kabir Bhuiyan, a spokesman and executive director of SEC told the FE.
"I have prayed for one week and the court has give us time. I will go to the Appellate Division if the SEC agrees," Mahmudul Islam, the lawyer of SEC, said after the verdict.
Experts said all eight mutual funds of the state-owned Investment Corporation of Bangladesh (ICB), AIMS and BSRS would be benefited by the verdict, although the ruling
could lead to manipulation by some funds.
"Especially, it's a good news for the ICB funds whose sizes are very small. I think the ruling paves the way for ICB to expand capital base of their existing funds," an expert said, speaking on condition of anonymity.
There will be some impact in the market this week, but it won't be large-scale because SEC's power has been kept intact to decide whether or not a mutual fund can raise its capital, he added.
In the capital market there are 19 close-end mutual funds approved by SEC. Among them, only the First ICB mutual fund issued 50 per cent bonus shares and AIMS First mutual fund issued 20 percent bonus shares in the last two years.
Investors who have been eagerly anticipating a favourable ruling on the case expressed their delight at the judgment.
"It's our victory," Ariful Islam, a general investor said after the delivery of verdict in the court. "We think we'll win even if the SEC makes appeal to the appellate division."
Investors filed the writ petition to the High Court in July last year challenging the SEC's amendment of rule number 66 a month back that barred fund managers from issuing rights or bonus shares.
SEC officials said they made the amendment, as they feared that some fund managers would try to exploit investors' sentiment by issuing rights and bonus shares.
Immediately after the writ petition, the court had directed all the listed mutual funds not to declare dividends until its disposal.
Sunday, November 8, 2009
DSE GENERAL INDEX & TURNOVER
08.11.09 SUN DAY
TURNOVER:▲Tk 10,202.49 million
DGEN:▼3411.48159
INDEX CHANGE:▼2.0455
ADVANCE :71
DECLINE :165
UNCHANGED:1
..................................................................................
05.11.09 THURS DAY
TURNOVER:▼Tk 8,451.95 million
DGEN:▲3413.52709
INDEX CHANGE:▲9.8899
ADVANCE :118
DECLINE :112
UNCHANGED:3
TURNOVER:▲Tk 10,202.49 million
DGEN:▼3411.48159
INDEX CHANGE:▼2.0455
ADVANCE :71
DECLINE :165
UNCHANGED:1
..................................................................................
05.11.09 THURS DAY
TURNOVER:▼Tk 8,451.95 million
DGEN:▲3413.52709
INDEX CHANGE:▲9.8899
ADVANCE :118
DECLINE :112
UNCHANGED:3
DSE NEWS HIGHLIGHTS AS ON 08.11.09 SUNDAY
TURNOVER:Today's (08.11.09) Total Trades: 147,829; Volume: 35,907,031 and Turnover: Tk. 10,202.49 million.
1ST PRIMF MF:On the close of operation on November 03, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 13.66 per unit at current market price basis and Tk. 11.54 at cost price basis against face value of Tk. 10.00 whereas total Net Assets of the Fund stood at Tk. 27,32,50,949.55 on the basis of market price and Tk. 23,07,95,160.09 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB AMCL 2ND:On the close of operation on November 03, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 100.26 per unit on the basis of current market price and Tk. 99.92 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 50,12,76,413.19 on the basis of market price and Tk. 49,95,92,276.33 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB 1ST NRB:On the close of operation on November 03, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 295.12 per unit on the basis of current market price and Tk. 217.50 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 29,51,19,668.19 on the basis of market price and Tk. 21,75,04,909.65 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB ISLAMIC MF:On the close of operation on November 03, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 245.58 per unit on the basis of current market price and Tk. 200.15 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 24,55,76,250.97 on the basis of market price and Tk. 20,01,54,494.75 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB 2ND NRB:On the close of operation on November 03, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 142.50 per unit on the basis of current market price and Tk. 126.27 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 142,49,89,243.17 on the basis of market price and Tk. 126,26,69,902.95 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB AMCL 1ST:On the close of operation on November 03, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 424.10 per unit on the basis of current market price and Tk. 286.92 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 42,41,00,580.52 on the basis of market price and Tk. 28,69,22,930.59 on the basis of cost price after considering all assets and liabilities of the Fund.
GRAMEEN 1:On the close of operation on November 05, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 39.13 per unit at current market price basis and Tk. 20.99 at cost price basis against face value of Tk. 10.00, whereas Net Assets of the Fund stood at Tk. 66,51,26,927.00.
GRAMEENS 2:On the close of operation on November 05, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 14.31 per unit at current market price basis and Tk. 11.74 at cost price basis against face value of Tk. 10.00, whereas Net Assets of the Fund stood at Tk. 178,92,56,430.00.
AIMS 1ST MF:On the close of operation on November 05, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 3.67 per unit at current market price basis and Tk. 2.07 at cost price basis against face value of Tk. 1.00, whereas Net Assets of the Fund stood at Tk. 61,63,00,547.00.
PREMIER LEASING:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 41.26 million with EPS of Tk. 10.93 as against Tk. 35.01 million and Tk. 9.27 (restated) respectively for the same period of the previous year.
UNION CAPITAL:The Company has informed that the Board of Directors of the Company has decided to enhance the fund size of UCL 1st Mutual Fund from existing Tk. 100 crore to Tk. 120 crore and the structure of which will be as follows: Total Fund Size: Tk. 120 Crore, Sponsor Tk. 15 crore (12.5%), Pre-IPO Placement: Tk. 45 crore (37.5%) and Initial Public Offering (IPO) Tk. 60 crore (50%) subject to the approval of SEC.
BD WELDING:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the Company has reported Net profit after tax of Tk. 3.82 million with EPS of Tk. 0.37.
AFTAB AUTOMOBILE:The Company has informed that the Securities and Exchange Commission (SEC) has informed (vide SEC's letter dated November 5, 2009) the Company that considering the present situation in the capital market and the interest of the small investors, the Commission is not in a position to accord consent to raise capital through issuance of shares to GEM Global Yield Fund Ltd. under the proposed terms and conditions.
OLYMPIC INDUSTRIES:The Board of Directors has recommended cash dividend @ 10% and stock dividend @ 20% for the year 2008-2009. Date of AGM: 17.12.09, Time: 10:00 AM, Venue: Factory premises of the company at Kutubpur, Kanchpur, Bondar, Narayanganj. Record date: 19.11.09. The company has also reported Net profit after tax of Tk. 128.81 m., Net Asset Value (NAV) of Tk. 354.37 m., Earning Per share (EPS) of Tk. 66.57, and Net Operating Cash Flow per share of Tk. 145.09 for the year ended on June 30, 2009 as against Tk. 45.29 m., Tk. 322.65 m., Tk. 23.41 and Tk. 43.10 respectively for the year ended on June 30, 2008.
FUWANG CERAMIC:The company has informed that the Board of Directors has recommended for raising paid up capital by issuing right share @ 1R:2 i.e. one right share for every two shares at Tk. 125.00 each (including premium of Tk. 25.00) on paid up capital (after consideration of stock dividend @ 10% for the year 2008-2009) subject to approval of shareholder in the EGM, SEC and other Regulatory Authorities. Date of EGM: 27.12.09, Time: 9:30 a.m., Venue: National Shooting Complex, Gulshan-1, Dhaka-1212. Record date for EGM: 25.11.09. Manager to the Issue: AAA Consultant & Financial Advisers Ltd. Another record date for the purpose of determination of entitlement of the proposed right issue of share to be notified after obtaining approval from SEC in this regard.
ORION INFUSION:The Board of Directors has recommended cash dividend @ 12.50% for the year 2008-2009. Date of AGM: 10.12.09, Time: 9:00 AM, Venue: Bangabandhu International Conference Centre, Agargaon, Sher-E-Bangla Nagar, Dhaka. Book Closure: 22.11.09 to 10.12.09. The company has also reported Earning Per share (EPS) of Tk. 12.87, Net Asset Value (NAV) per share of Tk. 99.39 and Net Operating Cash Flow per share of Tk. 31.44 for the year ended on June 30, 2009.
The company has also informed that the Board has accepted the report on valuation of the company's Lands and Buildings and other constructions as of 30 June 2009 issued by Ata Khan and Co., Chartered Accountants and Valuers, showing aggregate depreciated current cost thereof at Tk. 249,573,749 and resulting in a revaluation surplus aggregating Tk. 166,981,322 for incorporation thereof in its financial statements for the year ended 30 June 2009.
S. ALAM C R COIL:The company has informed that the Board of Directors of the company in its meeting held on 07.11.09 at 11:30 AM decided to set up a NOF type Continuous Galvanizing Line (CGL) with CTL Plant for production of GP/CI Sheets with most modern and economic technology consuming the C.R. Coils produced by the company to meet the local demand of the product and if possible to export the same, and with this end in view shall be finalizing a deal with the TENOVA MULTIFORM (PVT) LTD who, on principle, agreed for design, manufacture, supply, supervision of erection and commissioning of one complete Non-Oxide Furnace (NOF) type Continuous Galvanizing Line (CGL) with Cut-To-Length (CTL) and auxiliary all brand new and of Italian origin on turn key basis, at a price of US$ 6,700,000.in terms of the detail scope of supply contract to be prepared subsequently. The cost of the project with a production capacity around 280 Ton per day is estimated to be around Tk. 70.00 crore (approximately) and the estimated annual turnover will be Tk. 500.00 crore at rated capacity. The product of the proposed CGL would utilize the Cold Rolled Coils (CRC) produced by S. Alam Cold Rolled Steels Ltd. In order to finance cost of the project, the Directors has also decieded to issue up to 53,34,480 fully convertible, 6% dividend, Preference Shares of Taka 100 each on the following terms and conditions subject to approval of the shareholders of the company in their EGM.to be held on 12.12.09 at 3:00 PM at Hotel Lord's Inn, East Nasirabad, Chittagong with Record Date on 15.11.09 and upon SEC's consent to the aforesaid Preference Share Issue:- 1. The Preference Shares shall be converted into Ordinary Shares in two stages. a) One-half (50%), i.e., Taka 50, of each preference share will be converted into ordinary shares on 2nd May 2010 at 30% discount to the weighted average price of the Dhaka Stock Exchange during the period from the Record date for the issuance of Preference shares ending on 30th April 2010, and b) the remaining One-half (50%), i.e., Taka 50, of each preference share will be converted into ordinary shares on 1st August 2010 at 30% discount to the weighted average price of the Dhaka Stock Exchange during the period from the Record date for the issuance of Preference shares ending on 31st July 2010. 2. There will be a one year lock-in on the converted ordinary shares from the date of issue of the Preference shares 3. Once Preference Shares are converted into Ordinary Shares; and lock-in period thereof expires, such ordinary shares shall be listed like other ordinary shares of the company in the stock exchanges and tradable thereat. 4. An interim dividend at 3% will be paid on 2nd May 2010 and 1st August 2010 against the preference shares. Record date for interim dividend on Preference Shares shall be 30th April 2010 and 31st July 2010.5. Shareholders on Record date on 15th November 2009 will have the prerogative to subscribe for 40% i.e. 21,33,792 Preference Shares as above on a 10:4 basis, i.e., shareholders holding 10 existing Ordinary Shares will have the prerogative to subscribe for 4 Preference Share within 10th January 2010. 6. The unsubscribe Preference Shares out of the Preference Shares referred to in paragraph 5 above; and remaining 60% i.e. 32,00,688 Preference Shares will be privately placed. 7. Preference Shares will be issued approximately on 31st January 2010 provided SEC's consent to the aforesaid Preference Share Issue is obtained prior to that date 8. The Preference Shares will not be listed and/or publicly placed. However, these will be transferable like any other shares. 9. The funds so raised will be used to finance for procurement and installation of one complete Non-Oxide Furnace (NOF) type Continuous Galvanizing Line (CGL) in expansion of the company. 10. An Information Memoranda will be used to facilitate investment in the aforesaid Preference Share Issue.
DELTA SPINNING:As per audited accounts as on 30.06.09, the Company has reported profit after tax of Tk. 25.58 m with EPS of Tk. 16.73 as against Tk. 26.50 m and Tk. 17.34 respectively as on 30.06.08.
RUPALI INSURANCE:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 36.70 million with EPS of Tk. 26.76 as against Tk. 29.25 million and Tk. 21.33 (restated) respectively for the same period of the previous year.
1ST PRIMF MF:On the close of operation on November 03, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 13.66 per unit at current market price basis and Tk. 11.54 at cost price basis against face value of Tk. 10.00 whereas total Net Assets of the Fund stood at Tk. 27,32,50,949.55 on the basis of market price and Tk. 23,07,95,160.09 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB AMCL 2ND:On the close of operation on November 03, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 100.26 per unit on the basis of current market price and Tk. 99.92 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 50,12,76,413.19 on the basis of market price and Tk. 49,95,92,276.33 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB 1ST NRB:On the close of operation on November 03, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 295.12 per unit on the basis of current market price and Tk. 217.50 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 29,51,19,668.19 on the basis of market price and Tk. 21,75,04,909.65 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB ISLAMIC MF:On the close of operation on November 03, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 245.58 per unit on the basis of current market price and Tk. 200.15 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 24,55,76,250.97 on the basis of market price and Tk. 20,01,54,494.75 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB 2ND NRB:On the close of operation on November 03, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 142.50 per unit on the basis of current market price and Tk. 126.27 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 142,49,89,243.17 on the basis of market price and Tk. 126,26,69,902.95 on the basis of cost price after considering all assets and liabilities of the Fund.
ICB AMCL 1ST:On the close of operation on November 03, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 424.10 per unit on the basis of current market price and Tk. 286.92 on the basis of cost price against face value of Tk. 100.00 whereas total Net Assets of the Fund stood at Tk. 42,41,00,580.52 on the basis of market price and Tk. 28,69,22,930.59 on the basis of cost price after considering all assets and liabilities of the Fund.
GRAMEEN 1:On the close of operation on November 05, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 39.13 per unit at current market price basis and Tk. 20.99 at cost price basis against face value of Tk. 10.00, whereas Net Assets of the Fund stood at Tk. 66,51,26,927.00.
GRAMEENS 2:On the close of operation on November 05, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 14.31 per unit at current market price basis and Tk. 11.74 at cost price basis against face value of Tk. 10.00, whereas Net Assets of the Fund stood at Tk. 178,92,56,430.00.
AIMS 1ST MF:On the close of operation on November 05, 2009, the Fund has reported Net Asset Value (NAV) of Tk. 3.67 per unit at current market price basis and Tk. 2.07 at cost price basis against face value of Tk. 1.00, whereas Net Assets of the Fund stood at Tk. 61,63,00,547.00.
PREMIER LEASING:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 41.26 million with EPS of Tk. 10.93 as against Tk. 35.01 million and Tk. 9.27 (restated) respectively for the same period of the previous year.
UNION CAPITAL:The Company has informed that the Board of Directors of the Company has decided to enhance the fund size of UCL 1st Mutual Fund from existing Tk. 100 crore to Tk. 120 crore and the structure of which will be as follows: Total Fund Size: Tk. 120 Crore, Sponsor Tk. 15 crore (12.5%), Pre-IPO Placement: Tk. 45 crore (37.5%) and Initial Public Offering (IPO) Tk. 60 crore (50%) subject to the approval of SEC.
BD WELDING:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the Company has reported Net profit after tax of Tk. 3.82 million with EPS of Tk. 0.37.
AFTAB AUTOMOBILE:The Company has informed that the Securities and Exchange Commission (SEC) has informed (vide SEC's letter dated November 5, 2009) the Company that considering the present situation in the capital market and the interest of the small investors, the Commission is not in a position to accord consent to raise capital through issuance of shares to GEM Global Yield Fund Ltd. under the proposed terms and conditions.
OLYMPIC INDUSTRIES:The Board of Directors has recommended cash dividend @ 10% and stock dividend @ 20% for the year 2008-2009. Date of AGM: 17.12.09, Time: 10:00 AM, Venue: Factory premises of the company at Kutubpur, Kanchpur, Bondar, Narayanganj. Record date: 19.11.09. The company has also reported Net profit after tax of Tk. 128.81 m., Net Asset Value (NAV) of Tk. 354.37 m., Earning Per share (EPS) of Tk. 66.57, and Net Operating Cash Flow per share of Tk. 145.09 for the year ended on June 30, 2009 as against Tk. 45.29 m., Tk. 322.65 m., Tk. 23.41 and Tk. 43.10 respectively for the year ended on June 30, 2008.
FUWANG CERAMIC:The company has informed that the Board of Directors has recommended for raising paid up capital by issuing right share @ 1R:2 i.e. one right share for every two shares at Tk. 125.00 each (including premium of Tk. 25.00) on paid up capital (after consideration of stock dividend @ 10% for the year 2008-2009) subject to approval of shareholder in the EGM, SEC and other Regulatory Authorities. Date of EGM: 27.12.09, Time: 9:30 a.m., Venue: National Shooting Complex, Gulshan-1, Dhaka-1212. Record date for EGM: 25.11.09. Manager to the Issue: AAA Consultant & Financial Advisers Ltd. Another record date for the purpose of determination of entitlement of the proposed right issue of share to be notified after obtaining approval from SEC in this regard.
ORION INFUSION:The Board of Directors has recommended cash dividend @ 12.50% for the year 2008-2009. Date of AGM: 10.12.09, Time: 9:00 AM, Venue: Bangabandhu International Conference Centre, Agargaon, Sher-E-Bangla Nagar, Dhaka. Book Closure: 22.11.09 to 10.12.09. The company has also reported Earning Per share (EPS) of Tk. 12.87, Net Asset Value (NAV) per share of Tk. 99.39 and Net Operating Cash Flow per share of Tk. 31.44 for the year ended on June 30, 2009.
The company has also informed that the Board has accepted the report on valuation of the company's Lands and Buildings and other constructions as of 30 June 2009 issued by Ata Khan and Co., Chartered Accountants and Valuers, showing aggregate depreciated current cost thereof at Tk. 249,573,749 and resulting in a revaluation surplus aggregating Tk. 166,981,322 for incorporation thereof in its financial statements for the year ended 30 June 2009.
S. ALAM C R COIL:The company has informed that the Board of Directors of the company in its meeting held on 07.11.09 at 11:30 AM decided to set up a NOF type Continuous Galvanizing Line (CGL) with CTL Plant for production of GP/CI Sheets with most modern and economic technology consuming the C.R. Coils produced by the company to meet the local demand of the product and if possible to export the same, and with this end in view shall be finalizing a deal with the TENOVA MULTIFORM (PVT) LTD who, on principle, agreed for design, manufacture, supply, supervision of erection and commissioning of one complete Non-Oxide Furnace (NOF) type Continuous Galvanizing Line (CGL) with Cut-To-Length (CTL) and auxiliary all brand new and of Italian origin on turn key basis, at a price of US$ 6,700,000.in terms of the detail scope of supply contract to be prepared subsequently. The cost of the project with a production capacity around 280 Ton per day is estimated to be around Tk. 70.00 crore (approximately) and the estimated annual turnover will be Tk. 500.00 crore at rated capacity. The product of the proposed CGL would utilize the Cold Rolled Coils (CRC) produced by S. Alam Cold Rolled Steels Ltd. In order to finance cost of the project, the Directors has also decieded to issue up to 53,34,480 fully convertible, 6% dividend, Preference Shares of Taka 100 each on the following terms and conditions subject to approval of the shareholders of the company in their EGM.to be held on 12.12.09 at 3:00 PM at Hotel Lord's Inn, East Nasirabad, Chittagong with Record Date on 15.11.09 and upon SEC's consent to the aforesaid Preference Share Issue:- 1. The Preference Shares shall be converted into Ordinary Shares in two stages. a) One-half (50%), i.e., Taka 50, of each preference share will be converted into ordinary shares on 2nd May 2010 at 30% discount to the weighted average price of the Dhaka Stock Exchange during the period from the Record date for the issuance of Preference shares ending on 30th April 2010, and b) the remaining One-half (50%), i.e., Taka 50, of each preference share will be converted into ordinary shares on 1st August 2010 at 30% discount to the weighted average price of the Dhaka Stock Exchange during the period from the Record date for the issuance of Preference shares ending on 31st July 2010. 2. There will be a one year lock-in on the converted ordinary shares from the date of issue of the Preference shares 3. Once Preference Shares are converted into Ordinary Shares; and lock-in period thereof expires, such ordinary shares shall be listed like other ordinary shares of the company in the stock exchanges and tradable thereat. 4. An interim dividend at 3% will be paid on 2nd May 2010 and 1st August 2010 against the preference shares. Record date for interim dividend on Preference Shares shall be 30th April 2010 and 31st July 2010.5. Shareholders on Record date on 15th November 2009 will have the prerogative to subscribe for 40% i.e. 21,33,792 Preference Shares as above on a 10:4 basis, i.e., shareholders holding 10 existing Ordinary Shares will have the prerogative to subscribe for 4 Preference Share within 10th January 2010. 6. The unsubscribe Preference Shares out of the Preference Shares referred to in paragraph 5 above; and remaining 60% i.e. 32,00,688 Preference Shares will be privately placed. 7. Preference Shares will be issued approximately on 31st January 2010 provided SEC's consent to the aforesaid Preference Share Issue is obtained prior to that date 8. The Preference Shares will not be listed and/or publicly placed. However, these will be transferable like any other shares. 9. The funds so raised will be used to finance for procurement and installation of one complete Non-Oxide Furnace (NOF) type Continuous Galvanizing Line (CGL) in expansion of the company. 10. An Information Memoranda will be used to facilitate investment in the aforesaid Preference Share Issue.
DELTA SPINNING:As per audited accounts as on 30.06.09, the Company has reported profit after tax of Tk. 25.58 m with EPS of Tk. 16.73 as against Tk. 26.50 m and Tk. 17.34 respectively as on 30.06.08.
RUPALI INSURANCE:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported net profit after tax of Tk. 36.70 million with EPS of Tk. 26.76 as against Tk. 29.25 million and Tk. 21.33 (restated) respectively for the same period of the previous year.
SEC chief urges top firms to use Book Building method for floating shares
FE Report
The newly introduced Book Building method will encourage entrepreneurs to list their companies with stock exchanges as it ensures fair pricings of initial public offerings, head of the securities regulator said Saturday.
Book Building is a process through which companies determine the values of their IPOs based on the bidding prices from the institutional investors.
An underwriter "builds a book" by accepting orders from fund managers indicating the number of shares they desire and the price they are willing to pay.
A set of regulations on the method, widely practiced in developed and developing countries, was approved by the Securities and Exchange Commission (SEC) in March 2009.
"The Book Building method will encourage many entrepreneurs to list their firms," said Ziaul Haque Khondker, chairman of the SEC, in the city.
"It will help remove the fear that the existing IPO pricing method does not ensure fair prices for the successful entrepreneurs," he said, while speaking at a seminar on Book Building Method for Price Discovery.
"It is the retail investors who benefit from the prevailing pricing system more than the sponsors and owners of successful companies," he said urging big companies to raise capital from the bourses.
Listing of the big and profitable companies will also bridge the gap between demand and supply, the SEC
chief said.
Dhaka Stock Exchange President Md Rakibur Rahman also called upon the owners of big companies to follow Grameenphone's example in floating shares.
"The market is now capable of absorbing big issues as it has managed well the biggest ever IPO of Tk 4.86 billion by the country's top mobile operator Grameenphone," he said.
"The market lacks quality shares," he said, also urging the government to offload quality shares so that the people can participate in large public infrastructure development projects.
Explaining the Book Building mechanism, SEC executive director Abdul Hannan Zoarder said it is the process by which a price will be determined by institutional investors on the basis of an indicative price offered by the issuer company.
He said the method, which was started in USA and Canada in the 1980s, has now been widely practiced in most of the developed and developing countries, including India.
Using the method, the issuer company will first ask for share prices from the institutional investors by organising road shows, projection meeting and seminar on the company.
Then the company in association with its issue manager will fix an indicative price, which will have to be based on offering prices by at least five institutions in three categories, and send it to the securities regulator and stock exchanges.
Based on the indicative price, the institutions will bid for shares.
However, the bidders could not quote 20 percent more or less from the indicative price. Then a weighted average price will be fixed based on the higher and lower prices and shares will be allotted for institutions at the weighted average price.
The lowest will be considered as cut-off price for public offerings or general investors.
The institutions will not be allowed to sell shares in the first 15 trading days under the book building's lock-in system.
However, there are some preconditions that a company will have to fulfill for floating shares under the book building method, according to the SEC regulation.
A company will have at least a Tk 300 million paid up capital, it will have to be in commercial operation for the past five years and made net profit for the last three years to be eligible for fixing share prices through book building.
The company will also have to show it has no accumulated loss at the time of application and holds regular annual general meetings.
The IPO size will have to be a minimum 10 percent of the company's paid-up capital.
The newly introduced Book Building method will encourage entrepreneurs to list their companies with stock exchanges as it ensures fair pricings of initial public offerings, head of the securities regulator said Saturday.
Book Building is a process through which companies determine the values of their IPOs based on the bidding prices from the institutional investors.
An underwriter "builds a book" by accepting orders from fund managers indicating the number of shares they desire and the price they are willing to pay.
A set of regulations on the method, widely practiced in developed and developing countries, was approved by the Securities and Exchange Commission (SEC) in March 2009.
"The Book Building method will encourage many entrepreneurs to list their firms," said Ziaul Haque Khondker, chairman of the SEC, in the city.
"It will help remove the fear that the existing IPO pricing method does not ensure fair prices for the successful entrepreneurs," he said, while speaking at a seminar on Book Building Method for Price Discovery.
"It is the retail investors who benefit from the prevailing pricing system more than the sponsors and owners of successful companies," he said urging big companies to raise capital from the bourses.
Listing of the big and profitable companies will also bridge the gap between demand and supply, the SEC
chief said.
Dhaka Stock Exchange President Md Rakibur Rahman also called upon the owners of big companies to follow Grameenphone's example in floating shares.
"The market is now capable of absorbing big issues as it has managed well the biggest ever IPO of Tk 4.86 billion by the country's top mobile operator Grameenphone," he said.
"The market lacks quality shares," he said, also urging the government to offload quality shares so that the people can participate in large public infrastructure development projects.
Explaining the Book Building mechanism, SEC executive director Abdul Hannan Zoarder said it is the process by which a price will be determined by institutional investors on the basis of an indicative price offered by the issuer company.
He said the method, which was started in USA and Canada in the 1980s, has now been widely practiced in most of the developed and developing countries, including India.
Using the method, the issuer company will first ask for share prices from the institutional investors by organising road shows, projection meeting and seminar on the company.
Then the company in association with its issue manager will fix an indicative price, which will have to be based on offering prices by at least five institutions in three categories, and send it to the securities regulator and stock exchanges.
Based on the indicative price, the institutions will bid for shares.
However, the bidders could not quote 20 percent more or less from the indicative price. Then a weighted average price will be fixed based on the higher and lower prices and shares will be allotted for institutions at the weighted average price.
The lowest will be considered as cut-off price for public offerings or general investors.
The institutions will not be allowed to sell shares in the first 15 trading days under the book building's lock-in system.
However, there are some preconditions that a company will have to fulfill for floating shares under the book building method, according to the SEC regulation.
A company will have at least a Tk 300 million paid up capital, it will have to be in commercial operation for the past five years and made net profit for the last three years to be eligible for fixing share prices through book building.
The company will also have to show it has no accumulated loss at the time of application and holds regular annual general meetings.
The IPO size will have to be a minimum 10 percent of the company's paid-up capital.
Saturday, November 7, 2009
Share trading in districts sluggish
FE Report
Share trading at stock branches outside the capital witnessed a declining trend last week as investors at the local level adopted a wait-and-see policy over price correction, restriction on margin loans and delay in the High Court verdict on mutual funds, local investors said.
"Last week prices of many companies fell. Because, the local investors have chosen to watch the situation as the court has delayed its verdict on the writ petition concerning mutual funds. So the market is witnessing a sluggish trend for the time being," Alamgir Hossain, an investor based in Bogra told the FE on telephone Friday.
"The local investors are also keeping an eye on the overall market situation," said another investor Monir Ahmed from Comilla.
"The SEC (Securities and Exchange Commission) restriction on extending margin loans for purchasing shares of mutual funds also had an adverse impact on trading at the local level," Monir Ahmed added.
Local sources said the volumes of shares traded at Bogra, Feni and Barisal decreased by Tk. 12.176 million, Tk. 3.8 million and Tk 10.2 million respectively.
The volume of shares traded at Bogra Thursday stood at Tk. 34.15 million, down from Sunday's Tk. 46.326 million.
The total volume of shares traded at Feni fell to Tk. 38.9 million from Sunday's Tk. 42.7 million.
At Barisal it fell to Tk 56.8 million Thursday from Tk. 67 million of Sunday, the first trading day of the week.
At Narayanganj the volume reached Tk. 77.9 million Sunday and then fell to Tk. 67.1 million the next day.
The Dhaka Stock Exchange (DSE) has so far approved 381 stock branches across the country. However, a complete district-wise list of DSE branches was not yet available. The premier bourse of the country has asked its members to submit their addresses for preparing a complete list to be published in the annual DSE diary, a source said.
However, according to local sources, the number of stock branches at Bogra is four, at Narayanganj five, at Barisal four, at Comilla five, at Khulna eight, at Feni three, at Jessore one, at Rajshahi four and at Mymensingh one.
Share trading at stock branches outside the capital witnessed a declining trend last week as investors at the local level adopted a wait-and-see policy over price correction, restriction on margin loans and delay in the High Court verdict on mutual funds, local investors said.
"Last week prices of many companies fell. Because, the local investors have chosen to watch the situation as the court has delayed its verdict on the writ petition concerning mutual funds. So the market is witnessing a sluggish trend for the time being," Alamgir Hossain, an investor based in Bogra told the FE on telephone Friday.
"The local investors are also keeping an eye on the overall market situation," said another investor Monir Ahmed from Comilla.
"The SEC (Securities and Exchange Commission) restriction on extending margin loans for purchasing shares of mutual funds also had an adverse impact on trading at the local level," Monir Ahmed added.
Local sources said the volumes of shares traded at Bogra, Feni and Barisal decreased by Tk. 12.176 million, Tk. 3.8 million and Tk 10.2 million respectively.
The volume of shares traded at Bogra Thursday stood at Tk. 34.15 million, down from Sunday's Tk. 46.326 million.
The total volume of shares traded at Feni fell to Tk. 38.9 million from Sunday's Tk. 42.7 million.
At Barisal it fell to Tk 56.8 million Thursday from Tk. 67 million of Sunday, the first trading day of the week.
At Narayanganj the volume reached Tk. 77.9 million Sunday and then fell to Tk. 67.1 million the next day.
The Dhaka Stock Exchange (DSE) has so far approved 381 stock branches across the country. However, a complete district-wise list of DSE branches was not yet available. The premier bourse of the country has asked its members to submit their addresses for preparing a complete list to be published in the annual DSE diary, a source said.
However, according to local sources, the number of stock branches at Bogra is four, at Narayanganj five, at Barisal four, at Comilla five, at Khulna eight, at Feni three, at Jessore one, at Rajshahi four and at Mymensingh one.
DGEN goes up and up- weekly stock market
FE Report
Dhaka stocks continued to witness upward trend for the ninth consecutive week, which ended Thursday, extending their longest winning streak for the first time over the couple of years.
The benchmark index crossed 3400-mark in the week for the first time, setting a new milestone in the history of the Dhaka Stock Exchange (DSE).
Securities regulator's tightening of credit facilities on some risky scrips, however, continued to slow down the volume of transaction that dropped 5.83 per cent during the week and pushed majority issues dropping.
In the week, the benchmark Dhaka Stock Exchange (DSE) General Index (DGEN) surged 49.27 points or 1.46 per cent to close at 3413.53, which was an all time high.
The broader DSE All Shares Price Index (DSI) closed at 2858.51 with a gain of 42.25 points or 1.50 per cent while the DSE-20 blue chips index rose 33.35 points or 1.48 per cent to close at 2286.58.
The week's daily average turnover stood at Tk 9.12 billion, down 5.84 per cent from the previous week's Tk 9.68 billion.
Losers took a strong lead over the gainers as out of 255 issues traded, 82 went into the positive territory, 161 into the negative, one remained unchanged and 11 were not traded.
On the first day of the week, the market finished strong with DGEN gaining 0.83 per cent or 27.76 points, and falling short of the 3400 mark, while turnover fell slightly 3.6 per cent.
On the second day, the market crossed the 3,400 mark, with all the indices gaining. However, turnover dropped marginally by 1.9 per cent. On third and fourth days, the market took a break on profit taking.
The market bounced back nicely in the last session of the week as DGEN recouped 0.29 per cent riding on non-banking financial institutions and insurance companies to finish all time high.
Banking issues, the bellwether of the market, gained heavily during the week, following positive third quarter results, advancing by 3.51 per cent.
The NBFIs lost 16.83 per cent, which could be largely credited to ICB having a huge share of the total sector's market capitalisation. There was a fall in the market price of ICB following the issue of 100 per cent bonus share. Insurance sector went down as both general insurance companies and life insurance companies lost during the week. Mutual funds lost heavily during the week with fall of 8.14 per cent after being the biggest gainers in the previous week.
The energy sector gained marginally 0.29 per cent, so did the pharmaceutical sector 0.87 per cent. The cement sector edged slightly lower 0.29 per cent while the tannery sector fell 1.87 per cent.
Beximco Ltd, the flagship company of Beximco Group, was the top turnover leader with shares worth Tk 3.25 billion changing hands.
Bextex, Titas Gas, Jamuna Oil, Summit Alliance Port Limited, Summit Power, DESCO, Beximco Pharma, AB Bank and Uttara Bank were the other leading top turnover leaders of the week.
Uttara Finance, Libra Infusions Limited, Dutch-Bangla Bank, Asia Pacific Gen Ins, IDLC Finance Limited, Uttara Bank, Confidence Cement, First Lease Finance and Investment, Summit Alliance Port Limited and Rahim Textile were the leading gainers of the week.
The week's major losers were ICB, Dhaka Fisheries, Aftab Automobiles, Gulf Foods, Daffodil Computers, ICB AMCL 2nd Mutual Fund, Sonali Aansh, Samata Leather, Alpha Tobacco and Rupali Insurance.
Dhaka stocks continued to witness upward trend for the ninth consecutive week, which ended Thursday, extending their longest winning streak for the first time over the couple of years.
The benchmark index crossed 3400-mark in the week for the first time, setting a new milestone in the history of the Dhaka Stock Exchange (DSE).
Securities regulator's tightening of credit facilities on some risky scrips, however, continued to slow down the volume of transaction that dropped 5.83 per cent during the week and pushed majority issues dropping.
In the week, the benchmark Dhaka Stock Exchange (DSE) General Index (DGEN) surged 49.27 points or 1.46 per cent to close at 3413.53, which was an all time high.
The broader DSE All Shares Price Index (DSI) closed at 2858.51 with a gain of 42.25 points or 1.50 per cent while the DSE-20 blue chips index rose 33.35 points or 1.48 per cent to close at 2286.58.
The week's daily average turnover stood at Tk 9.12 billion, down 5.84 per cent from the previous week's Tk 9.68 billion.
Losers took a strong lead over the gainers as out of 255 issues traded, 82 went into the positive territory, 161 into the negative, one remained unchanged and 11 were not traded.
On the first day of the week, the market finished strong with DGEN gaining 0.83 per cent or 27.76 points, and falling short of the 3400 mark, while turnover fell slightly 3.6 per cent.
On the second day, the market crossed the 3,400 mark, with all the indices gaining. However, turnover dropped marginally by 1.9 per cent. On third and fourth days, the market took a break on profit taking.
The market bounced back nicely in the last session of the week as DGEN recouped 0.29 per cent riding on non-banking financial institutions and insurance companies to finish all time high.
Banking issues, the bellwether of the market, gained heavily during the week, following positive third quarter results, advancing by 3.51 per cent.
The NBFIs lost 16.83 per cent, which could be largely credited to ICB having a huge share of the total sector's market capitalisation. There was a fall in the market price of ICB following the issue of 100 per cent bonus share. Insurance sector went down as both general insurance companies and life insurance companies lost during the week. Mutual funds lost heavily during the week with fall of 8.14 per cent after being the biggest gainers in the previous week.
The energy sector gained marginally 0.29 per cent, so did the pharmaceutical sector 0.87 per cent. The cement sector edged slightly lower 0.29 per cent while the tannery sector fell 1.87 per cent.
Beximco Ltd, the flagship company of Beximco Group, was the top turnover leader with shares worth Tk 3.25 billion changing hands.
Bextex, Titas Gas, Jamuna Oil, Summit Alliance Port Limited, Summit Power, DESCO, Beximco Pharma, AB Bank and Uttara Bank were the other leading top turnover leaders of the week.
Uttara Finance, Libra Infusions Limited, Dutch-Bangla Bank, Asia Pacific Gen Ins, IDLC Finance Limited, Uttara Bank, Confidence Cement, First Lease Finance and Investment, Summit Alliance Port Limited and Rahim Textile were the leading gainers of the week.
The week's major losers were ICB, Dhaka Fisheries, Aftab Automobiles, Gulf Foods, Daffodil Computers, ICB AMCL 2nd Mutual Fund, Sonali Aansh, Samata Leather, Alpha Tobacco and Rupali Insurance.
Thursday, November 5, 2009
DSE GENERAL INDEX & TURNOVER
05.11.09 THURS DAY
TURNOVER:▼Tk 8,451.95 million
DGEN:▲3413.52709
INDEX CHANGE:▲9.8899
ADVANCE :118
DECLINE :112
UNCHANGED:3
...................................................................................
04.11.09 WEDNES DAY
TURNOVER:▲Tk 9,758.70 million
DGEN:▼3403.63719
INDEX CHANGE:▼6.21707
ADVANCE :56
DECLINE :179
UNCHANGED:2
TURNOVER:▼Tk 8,451.95 million
DGEN:▲3413.52709
INDEX CHANGE:▲9.8899
ADVANCE :118
DECLINE :112
UNCHANGED:3
...................................................................................
04.11.09 WEDNES DAY
TURNOVER:▲Tk 9,758.70 million
DGEN:▼3403.63719
INDEX CHANGE:▼6.21707
ADVANCE :56
DECLINE :179
UNCHANGED:2
DSE NEWS HIGHLIGHTS AS ON 05.11.09 THURSDAY
TURNOVER:Today's (05.11.09) Total Trades: 124,600; Volume: 31,618,333 and Turnover: Tk. 8,451.95 million.
Expire Date: 2009-11-05
DIRECT LISTING RULES:This is for information of all concerned that the Board of Directors of Dhaka Stock Exchange Ltd. (DSE) in its 633rd Board meeting held on September 08, 2009, has decided that henceforth only the shares of Government owned public companies shall be listed under the "Dhaka Stock Exchange (Direct Listing) Regulations, 2006" subject to approval of Securities and Exchange Commission (SEC). In this regard, DSE has already applied to SEC vide its letter No. DSE-42/2009/7471 dated September 8, 2009 to amend the "Dhaka Stock Exchange (Direct Listing) Regulations, 2006" accordingly.
SAMORITA:The company has informed that a meeting of the Board of Directors of the company will be held on 10.11.09 at 8:00 PM for consideration of Accounts for the year ended on June 30, 2009 and declaration of dividend for the shareholders.
HILLPLANT:As per audited accounts as on 30.06.09, the company has reported net profit of Tk. 0.23 m. with EPS of Tk. 15.20 as against Tk. 0.33 m. and Tk. 21.73 respectively as on 30.06.08.
BD PLANT:As per audited accounts as on 30.06.09, the company has reported net profit of Tk. 0.23 m. with EPS of Tk. 22.57 as against Tk. 0.27 m. and Tk. 27.13 respectively as on 30.06.08. Accumulated loss of the company was Tk. (10.48) m. as on 30.06.09.
NATIONAL TUBES:The Board of Directors has recommended Cash Dividend @ 30% and Stock Dividend @ 10% for the year 2008-2009. Date of AGM: 26.12.09. Time: 11:00 AM, Venue: Factory premises of the company, Tongi, Gazipur. Record Date: 22.11.09. The company has also reported Net Asset Value (NAV) per share of Tk. 348.03, Earning Per share of Tk. 78.87 and Net Operating Cash Flow per share of Tk. 70.97 for the year ended on June 30, 2009.
QUASEM DRYCELL:The Board of Directors has recommended cash dividend @ 15% for the year 2008- 2009. Date of AGM: 29.12.09, Time: 11:00 AM, Venue: Factory Premises of the company, Unit-3 Baimail, Gazipur. Record Date: 26.11.09. The company has also reported Net Asset Value (NAV) of Tk. 519.33 million, Earning Per share of Tk. 1.44 and Net Operating Cash Flow per share of Tk. 1.66 for the year ended on June 30, 2009.The company has also informed that the Board of Directors has decided to invest Tk. 1.50 crore in equity shares of Quasem Food Products Ltd. (QFPL), a company that has already gone into trial production. This is subject to the approval of the shareholders at the upcoming 28th AGM of the company.
Expire Date: 2009-11-05
POWER GRID:The Board of Directors has recommended cash dividend @ 27% for the year 2008-2009. Date of AGM: 24.01.10, Time: 11:00 AM. Venue: Bashundhara Convention Center, Block-G, Umme Kulsum Road, Bashundhara R/A., Baridhara, Dhaka-1229. Record Date: 24.11.09. The company has also reported Net Asset Value (NAV) of Tk. 14,210.15 million, Earning Per share (EPS) of Tk. 42.39 and Net Operating Cash Flow per share of Tk. 104.76 for the year ended on June 30, 2009.
FINE FOODS:The Board of Directors has recommended Stock Dividend @ 15% for the year 2008-2009. Date of AGM: 14.12.09. Time: 11.00 AM, Venue: White House, 155, Shantinagar, Dhaka. Book Closure: 30.11.09 to 14.12.09. The company has also reported Net Asset Value (NAV) per share of Tk. 12.82, Earning Per share (EPS) of Tk. 1.01 and Net Operating Cash Flow per share of Tk. 1.57 for the year ended on June 30, 2009.
EASTLAND INSURANCE: As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009 (July to September), the Company has reported Net profit after tax of Tk. 13.50 million with EPS of Tk. 6.36. Whereas net profit after tax was Tk. 55.98 million with EPS of Tk. 26.36 for the period of nine months (January to September) ended on 30.09.09.
RENWICK JAGESWAR:The Board of Directors has recommended cash dividend @ 10% for the year 2008- 2009. Date of AGM: 05.12.09, Time: 10:00 a.m., Venue: Mills Premises, Renwick Road, Kushtia. Book Closure: 26.11.09 to 05.12.09. The company has also reported that it has made a profit of Tk. 7.11 million during the financial year ended on 30th June, 2009.
NCC BANK:The Bank has informed that the Board of Directors of the Bank has decided as under: 1. Funding structure of NCCBL Mutual Fund - 1 (proposed) has been modified as follows: (a) Total fund size will be Tk. 100.00 crore, (b) NCC Bank as sponsor will subscribe 15% i.e. Tk. 15.00 crore, (c) Pre-IPO placement 35% i.e. Tk. 35.00 crore, (d) IPO 50% i.e. Tk. 50.00 crore, 2. All other features of proposed NCCBL Mutual Fund - 1 will remain unchanged and 3. The matter is subject to approval of SEC.
Expire Date: 2009-11-05
DIRECT LISTING RULES:This is for information of all concerned that the Board of Directors of Dhaka Stock Exchange Ltd. (DSE) in its 633rd Board meeting held on September 08, 2009, has decided that henceforth only the shares of Government owned public companies shall be listed under the "Dhaka Stock Exchange (Direct Listing) Regulations, 2006" subject to approval of Securities and Exchange Commission (SEC). In this regard, DSE has already applied to SEC vide its letter No. DSE-42/2009/7471 dated September 8, 2009 to amend the "Dhaka Stock Exchange (Direct Listing) Regulations, 2006" accordingly.
SAMORITA:The company has informed that a meeting of the Board of Directors of the company will be held on 10.11.09 at 8:00 PM for consideration of Accounts for the year ended on June 30, 2009 and declaration of dividend for the shareholders.
HILLPLANT:As per audited accounts as on 30.06.09, the company has reported net profit of Tk. 0.23 m. with EPS of Tk. 15.20 as against Tk. 0.33 m. and Tk. 21.73 respectively as on 30.06.08.
BD PLANT:As per audited accounts as on 30.06.09, the company has reported net profit of Tk. 0.23 m. with EPS of Tk. 22.57 as against Tk. 0.27 m. and Tk. 27.13 respectively as on 30.06.08. Accumulated loss of the company was Tk. (10.48) m. as on 30.06.09.
NATIONAL TUBES:The Board of Directors has recommended Cash Dividend @ 30% and Stock Dividend @ 10% for the year 2008-2009. Date of AGM: 26.12.09. Time: 11:00 AM, Venue: Factory premises of the company, Tongi, Gazipur. Record Date: 22.11.09. The company has also reported Net Asset Value (NAV) per share of Tk. 348.03, Earning Per share of Tk. 78.87 and Net Operating Cash Flow per share of Tk. 70.97 for the year ended on June 30, 2009.
QUASEM DRYCELL:The Board of Directors has recommended cash dividend @ 15% for the year 2008- 2009. Date of AGM: 29.12.09, Time: 11:00 AM, Venue: Factory Premises of the company, Unit-3 Baimail, Gazipur. Record Date: 26.11.09. The company has also reported Net Asset Value (NAV) of Tk. 519.33 million, Earning Per share of Tk. 1.44 and Net Operating Cash Flow per share of Tk. 1.66 for the year ended on June 30, 2009.The company has also informed that the Board of Directors has decided to invest Tk. 1.50 crore in equity shares of Quasem Food Products Ltd. (QFPL), a company that has already gone into trial production. This is subject to the approval of the shareholders at the upcoming 28th AGM of the company.
Expire Date: 2009-11-05
POWER GRID:The Board of Directors has recommended cash dividend @ 27% for the year 2008-2009. Date of AGM: 24.01.10, Time: 11:00 AM. Venue: Bashundhara Convention Center, Block-G, Umme Kulsum Road, Bashundhara R/A., Baridhara, Dhaka-1229. Record Date: 24.11.09. The company has also reported Net Asset Value (NAV) of Tk. 14,210.15 million, Earning Per share (EPS) of Tk. 42.39 and Net Operating Cash Flow per share of Tk. 104.76 for the year ended on June 30, 2009.
FINE FOODS:The Board of Directors has recommended Stock Dividend @ 15% for the year 2008-2009. Date of AGM: 14.12.09. Time: 11.00 AM, Venue: White House, 155, Shantinagar, Dhaka. Book Closure: 30.11.09 to 14.12.09. The company has also reported Net Asset Value (NAV) per share of Tk. 12.82, Earning Per share (EPS) of Tk. 1.01 and Net Operating Cash Flow per share of Tk. 1.57 for the year ended on June 30, 2009.
EASTLAND INSURANCE: As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009 (July to September), the Company has reported Net profit after tax of Tk. 13.50 million with EPS of Tk. 6.36. Whereas net profit after tax was Tk. 55.98 million with EPS of Tk. 26.36 for the period of nine months (January to September) ended on 30.09.09.
RENWICK JAGESWAR:The Board of Directors has recommended cash dividend @ 10% for the year 2008- 2009. Date of AGM: 05.12.09, Time: 10:00 a.m., Venue: Mills Premises, Renwick Road, Kushtia. Book Closure: 26.11.09 to 05.12.09. The company has also reported that it has made a profit of Tk. 7.11 million during the financial year ended on 30th June, 2009.
NCC BANK:The Bank has informed that the Board of Directors of the Bank has decided as under: 1. Funding structure of NCCBL Mutual Fund - 1 (proposed) has been modified as follows: (a) Total fund size will be Tk. 100.00 crore, (b) NCC Bank as sponsor will subscribe 15% i.e. Tk. 15.00 crore, (c) Pre-IPO placement 35% i.e. Tk. 35.00 crore, (d) IPO 50% i.e. Tk. 50.00 crore, 2. All other features of proposed NCCBL Mutual Fund - 1 will remain unchanged and 3. The matter is subject to approval of SEC.
Verdict on mutual fund writ Sunday
The verdict of writ petition related to mutual fund will be delivered Sunday next. A division bench of High Court comprising Justice Syed Mahmud Hossain and Justice Kamrul Islam Siddiqui declared the aforesaid date of delivery of verdict. — FE Report
Banking sector can develop a lot by next year
FE Report
Automated clearing house system in the offing
FE Report
Former Governor of Bangladesh Bank Dr Salehuddin Ahmed said Wednesday the country's banking sector can develop a lot by next year if automated clearing house system is implemented quickly and properly.
"Time has come to get into action, rather than remain rhetoric," he said while addressing a gathering in the city.
The former governor was speaking at a seminar titled 'Bangladesh Automated Clearing House (BACH), organised by Citibank N.A.
His comments came just days before the deadline for the introduction of automated clearing house ends.
The central bank is introducing BACH aiming to facilitate business activities through modernising the payment and settlement system.
Under the new system, payments will be settled using automated cheque clearing system and electronic fund transfer among 1,050 bank branches in Dhaka initially. The service will be extended across the country later.
Mr Ahmed said through automated clearing house project, Bangladesh is entering a new era of e-commerce. "But still a lot of things need to be done on the issue as e-commerce is a much broader issue."
He said Bangladesh is lagging behind in terms of payment system compared to other South Asian neighbours such as India, Pakistan and Sri Lanka.
"We do not have automated check clearing system like theirs. Bangladesh Bank should come forward with a comprehensive strategy in this regard."
Dr Ahmed said the state-owned commercial banks and some private banks are still not ready to adopt the system, which is delaying the process in the country.
The former governor thanked the most of the private commercial banks including Citibank, who pioneered electronic banking in Bangladesh, for taking the lead.
He said Bangladesh is facing problems due to lack of information as practical aspect of technology is missing here. "Once the project implemented, the check would be truncated. It will not be paper check any longer."
The central bank is implementing the project with the help of DFID, he said.
Mr Ahmed said the automated clearing house project is very much consistent with the government's Digital Bangladesh vision.
"The system demands proper attention if we really want to implement the Digital Bangladesh Vision. We have to show that we are really sincere to see the vision implemented. Bangladesh Bank can do a lot in this regard."
Citibank chief executive officer (CEO) Mamun Rashid said Internet and technology would be the way forward to revolutionise the banking in Bangladesh.
CEOs of leading banks, representatives from Bangladesh Bank and top officials from different financial institutions and market intermediaries were present on the occasion.
Automated clearing house system in the offing
FE Report
Former Governor of Bangladesh Bank Dr Salehuddin Ahmed said Wednesday the country's banking sector can develop a lot by next year if automated clearing house system is implemented quickly and properly.
"Time has come to get into action, rather than remain rhetoric," he said while addressing a gathering in the city.
The former governor was speaking at a seminar titled 'Bangladesh Automated Clearing House (BACH), organised by Citibank N.A.
His comments came just days before the deadline for the introduction of automated clearing house ends.
The central bank is introducing BACH aiming to facilitate business activities through modernising the payment and settlement system.
Under the new system, payments will be settled using automated cheque clearing system and electronic fund transfer among 1,050 bank branches in Dhaka initially. The service will be extended across the country later.
Mr Ahmed said through automated clearing house project, Bangladesh is entering a new era of e-commerce. "But still a lot of things need to be done on the issue as e-commerce is a much broader issue."
He said Bangladesh is lagging behind in terms of payment system compared to other South Asian neighbours such as India, Pakistan and Sri Lanka.
"We do not have automated check clearing system like theirs. Bangladesh Bank should come forward with a comprehensive strategy in this regard."
Dr Ahmed said the state-owned commercial banks and some private banks are still not ready to adopt the system, which is delaying the process in the country.
The former governor thanked the most of the private commercial banks including Citibank, who pioneered electronic banking in Bangladesh, for taking the lead.
He said Bangladesh is facing problems due to lack of information as practical aspect of technology is missing here. "Once the project implemented, the check would be truncated. It will not be paper check any longer."
The central bank is implementing the project with the help of DFID, he said.
Mr Ahmed said the automated clearing house project is very much consistent with the government's Digital Bangladesh vision.
"The system demands proper attention if we really want to implement the Digital Bangladesh Vision. We have to show that we are really sincere to see the vision implemented. Bangladesh Bank can do a lot in this regard."
Citibank chief executive officer (CEO) Mamun Rashid said Internet and technology would be the way forward to revolutionise the banking in Bangladesh.
CEOs of leading banks, representatives from Bangladesh Bank and top officials from different financial institutions and market intermediaries were present on the occasion.
Dhaka stocks fall marginally for 2nd day
FE Report
Dhaka stocks fell marginally for the second successive session Wednesday on profit taking, with share prices of the maximum issues declining.
Before going into the negative territory on profit taking, the market gained 20 points in the morning.
The benchmark Dhaka Stock Exchange (DSE) General Index (DGEN) lost 6.21 points or 0.18 per cent to close at 3403.63, after touching 3429.92 in early trading.
The broader DSE All Shares Price Index (DSI) slipped 2.10 points or 0.07 per cent to close at 2848.63 while DSE -20 blue chip index dropped 18.54 points or 0.80 per cent to close at 2294.99.
Share prices went down across the board as out of 237 issues traded, 56 gained, 179 declined and two remained unchanged.
Daily turnover rose to Tk 9.76 billion, an increase of 19 per cent over the previous session.
"Bulls took a break after record-breaking rally," said Akter H Sannamat, managing director of the Prime Finance and Investment Ltd.
"However, the investors remained cautious on mutual funds because of its ongoing hearing," he added.
The verdict of the writ petition related to mutual funds is expected to be announced Sunday next.
Individual investors filed the writ petition after the Securities and Exchange Commission, a year ago, made changes to the mutual fund rules restricting fund managers from issuing right or bonus shares.
The banking sector continued to lose its lustre for the second straight session with Dutch-Bangla Bank losing highest of 2.0 per cent. However, state-owned Rupali Bank gained 5.70 per cent.
All the non-banking financial institutions (NBFIs), except IDLC Finance and Prime Finance, edged lower. All the mutual funds went down with the whole sector falling by 3.27 per cent.
The pharmaceuticals, multinational companies and insurance companies also went down while energy and cement sectors advanced.
Summit Alliance Port Ltd (SAPL), an inland container depot, was the top turnover leader with shares worth Tk 956.33 million traded.
Dhaka stocks fell marginally for the second successive session Wednesday on profit taking, with share prices of the maximum issues declining.
Before going into the negative territory on profit taking, the market gained 20 points in the morning.
The benchmark Dhaka Stock Exchange (DSE) General Index (DGEN) lost 6.21 points or 0.18 per cent to close at 3403.63, after touching 3429.92 in early trading.
The broader DSE All Shares Price Index (DSI) slipped 2.10 points or 0.07 per cent to close at 2848.63 while DSE -20 blue chip index dropped 18.54 points or 0.80 per cent to close at 2294.99.
Share prices went down across the board as out of 237 issues traded, 56 gained, 179 declined and two remained unchanged.
Daily turnover rose to Tk 9.76 billion, an increase of 19 per cent over the previous session.
"Bulls took a break after record-breaking rally," said Akter H Sannamat, managing director of the Prime Finance and Investment Ltd.
"However, the investors remained cautious on mutual funds because of its ongoing hearing," he added.
The verdict of the writ petition related to mutual funds is expected to be announced Sunday next.
Individual investors filed the writ petition after the Securities and Exchange Commission, a year ago, made changes to the mutual fund rules restricting fund managers from issuing right or bonus shares.
The banking sector continued to lose its lustre for the second straight session with Dutch-Bangla Bank losing highest of 2.0 per cent. However, state-owned Rupali Bank gained 5.70 per cent.
All the non-banking financial institutions (NBFIs), except IDLC Finance and Prime Finance, edged lower. All the mutual funds went down with the whole sector falling by 3.27 per cent.
The pharmaceuticals, multinational companies and insurance companies also went down while energy and cement sectors advanced.
Summit Alliance Port Ltd (SAPL), an inland container depot, was the top turnover leader with shares worth Tk 956.33 million traded.
NBFIs given 15 months to strengthen capital base
Nazmul Ahsan-FE Report
Merger remains one option for weaker companies
Nazmul Ahsan
The Bangladesh Bank (BB) asked Wednesday the leasing companies to increase their paid-up capital to Tk 500 million by December 31, 2010.
The leasing companies, which are commonly known as non-banking financial institutions (NBFIs), could issue Initial Public Offerings (IPOs) or right shares or bonus shares within the timeframe to meet the new paid-up capital requirement, said the BB directive.
Mr Md Elias Shikder, general manager, Department of Financial Institutions and Markets of the central bank, issued the directive to this effect.
According to the directive, a leasing company may also consider merging with another leasing entity to help meet the paid-up capital requirement.
The BB directive, however, has barred the leasing companies having shortfall in capital requirement from issuing cash dividend.
BB officials said although the NBFIs are exposed to fewer and less serious financial threats, they need increased capital infusion due to expansion of their lending activities and rapid growth of the country's economy.
Experts said the latest move would help the country's 29 NBFIs to strengthen their financial base, although some weaker companies might be forced to merge in case they failed to raise capital within the deadline.
The financial institutions would not face any trouble in increasing their capital base during the proposed timeframe since the stock market offers them that opportunity, a top official in the BB argued.
Currently, only three out of 17 listed NBFIs have above Tk 500 million paid up capital each.
BB officials said the paid-up capital of NBFIs should be enhanced to Tk 710 million from the existing Tk 300 million if the value of their assets was taken into consideration.
The total assets of all non-banking financial institutions was Tk 55.38 billion in 2003, when the paid-up capital for NBFIs was Tk 300 million. The asset value increased to Tk 158.04 billion as of June 30, 2009, argued the BB in support of its proposal to increase the paid up capital, according to a recent BB report on NBFIs.
'The NBFIs will not be able to withstand any future financial crisis if they fail to strengthen their capital base,' another BB official said.
Besides, the BB said, the increase of paid-up capital of NBFIs has become necessary after the enhancement of the paid up capital of the banking companies to Tk 4.0 billion each.
'It is necessary to increase the paid up capital of NBFIs like those of banks in the country to keep those out of financial risks and to meet the conditions under BASEL-II,' the BB argued further.
The country has now 29 leasing companies. However, only 17 are listed with the capital market.
The listed NBFIs and their paid-up capital are given below:
Bay Leasing & Investment Ltd Tk 200 million, First Lease International Tk 230 million, United Leasing Tk 260 million, IDLC Tk 300 million, Uttara Finance Tk 310 million, MIDAS Finance Tk 350 million, Prime Finance Tk 640 million, Premier Leasing Tk 370 million, Islamic Finance & Investment Tk 310 million, Lankabangla Finance Ltd Tk 440 million, IPDC Tk 780 million, Union Capital Tk 410 million, BD Finance and Investment Com Ltd Tk 360 million, International Leasing and Financial Services Tk 290 million, Phoenix Finance and Investments Tk 330 million, Fidelity Assets& Securities Co Tk 390 million and People's Leasing Tk 720 million.
Earlier, the Ministry of Finance (MoF) gave the BB with go-ahead signal to a central bank's proposal to raise paid-up capital of the leasing companies from the existing Tk300 million to Tk 500 million.
Merger remains one option for weaker companies
Nazmul Ahsan
The Bangladesh Bank (BB) asked Wednesday the leasing companies to increase their paid-up capital to Tk 500 million by December 31, 2010.
The leasing companies, which are commonly known as non-banking financial institutions (NBFIs), could issue Initial Public Offerings (IPOs) or right shares or bonus shares within the timeframe to meet the new paid-up capital requirement, said the BB directive.
Mr Md Elias Shikder, general manager, Department of Financial Institutions and Markets of the central bank, issued the directive to this effect.
According to the directive, a leasing company may also consider merging with another leasing entity to help meet the paid-up capital requirement.
The BB directive, however, has barred the leasing companies having shortfall in capital requirement from issuing cash dividend.
BB officials said although the NBFIs are exposed to fewer and less serious financial threats, they need increased capital infusion due to expansion of their lending activities and rapid growth of the country's economy.
Experts said the latest move would help the country's 29 NBFIs to strengthen their financial base, although some weaker companies might be forced to merge in case they failed to raise capital within the deadline.
The financial institutions would not face any trouble in increasing their capital base during the proposed timeframe since the stock market offers them that opportunity, a top official in the BB argued.
Currently, only three out of 17 listed NBFIs have above Tk 500 million paid up capital each.
BB officials said the paid-up capital of NBFIs should be enhanced to Tk 710 million from the existing Tk 300 million if the value of their assets was taken into consideration.
The total assets of all non-banking financial institutions was Tk 55.38 billion in 2003, when the paid-up capital for NBFIs was Tk 300 million. The asset value increased to Tk 158.04 billion as of June 30, 2009, argued the BB in support of its proposal to increase the paid up capital, according to a recent BB report on NBFIs.
'The NBFIs will not be able to withstand any future financial crisis if they fail to strengthen their capital base,' another BB official said.
Besides, the BB said, the increase of paid-up capital of NBFIs has become necessary after the enhancement of the paid up capital of the banking companies to Tk 4.0 billion each.
'It is necessary to increase the paid up capital of NBFIs like those of banks in the country to keep those out of financial risks and to meet the conditions under BASEL-II,' the BB argued further.
The country has now 29 leasing companies. However, only 17 are listed with the capital market.
The listed NBFIs and their paid-up capital are given below:
Bay Leasing & Investment Ltd Tk 200 million, First Lease International Tk 230 million, United Leasing Tk 260 million, IDLC Tk 300 million, Uttara Finance Tk 310 million, MIDAS Finance Tk 350 million, Prime Finance Tk 640 million, Premier Leasing Tk 370 million, Islamic Finance & Investment Tk 310 million, Lankabangla Finance Ltd Tk 440 million, IPDC Tk 780 million, Union Capital Tk 410 million, BD Finance and Investment Com Ltd Tk 360 million, International Leasing and Financial Services Tk 290 million, Phoenix Finance and Investments Tk 330 million, Fidelity Assets& Securities Co Tk 390 million and People's Leasing Tk 720 million.
Earlier, the Ministry of Finance (MoF) gave the BB with go-ahead signal to a central bank's proposal to raise paid-up capital of the leasing companies from the existing Tk300 million to Tk 500 million.
Wednesday, November 4, 2009
DSE NEWS HIGHLIGHTS 04.11.09 WEDNESDAY
TURNOVER:Today's (04.11.09) Total Trades: 131,844; Volume: 35,894,576 and Turnover: Tk. 9,758.70 million.
APEX WEAVING:The company has further informed that due to unavoidable circumstances the meeting of the Board of Directors of the company scheduled to be held on 05.11.09 has been postponed.
SUMMIT PORT LTD:The company has informed that in response to their application dated 22 June 2009, the Board of Directors of Chittagong Stock Exchange Limited (CSE) in their meeting held on 3 November 2009 approved direct listing of Ocean Containers Limited, 100%- owned subsidiary of Summit Alliance Port Ltd. under Chittagong Stock Exchange (Direct Listing) Regulations, 2006 subject to compliance of requirements specified by CSE, vide letter dated 3 November 2009 addressed to Ocean Containers Limited.
HILL PLANT:The Board of Directors has recommended cash dividend @ 10% for the year 2008- 2009. Date of AGM: 24.12.09. Book Closure: 17.11.09 to 02.12.09. Other information of the AGM to be notified later.
BD PLANT:The Board of Directors has recommended cash dividend @ 10% for the year 2008- 2009. Date of AGM: 24.12.09. Book Closure: 17.11.09 to 02.12.09. Other information of the AGM to be notified later.
Expire Date: 2009-11-04
AZIZ PIPES:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported profit after tax of Tk. 4.57 million with EPS of Tk. 9.42 as against net loss of Tk. (23.05) million and EPS of Tk. (47.52) respectively for the same period of the previous year. Accumulated loss of the company was Tk. 434.38 million as on 30.09.09. Turnover and other income of the company was Tk. 248.76 million as on 30.09.09 as against Tk. 237.06 million as on 30.09.08.
FAREAST LIFE:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009 (from July to September), the company has reported an increase in life revenue account of Tk. 381.82 m. with total life insurance fund of Tk. 7,283.53 m. as against Tk. 411.68 m. and Tk. 5,089.32 m. respectively for the same period of the previous year. The company has also reported an increase in life revenue account for period of nine months ended on 30th September 2009 (from January to September) of Tk. 1,384.21 m. with total life insurance fund of Tk. 7,283.53 m. as against Tk. 1,114.47 m. and Tk. 5,089.32 m. respectively for the same period of the previous year.
FIRST LEASE INTERNATIONAL:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported profit after tax of Tk. 80.57 million with EPS of Tk. 35.03 as against Tk. 81.48 million and Tk. 35.42 respectively for the same period of the previous year.
STANDARD INSURANCE:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported profit after tax of Tk. 16.19 million with EPS of Tk. 10.79 as against Tk. 16.43 million and Tk. 10.95 respectively for the same period of the previous year.
BATBC:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009 (from January to September), the company has reported profit after tax of Tk. 1,637.01 million with EPS of Tk. 27.28 as against Tk. 1,125.91 million and Tk. 18.77 respectively for the same period of previous year.
RECKITT BENKIZER:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported profit after tax of Tk. 131.74 million with EPS of Tk. 27.88 as against Tk. 107.76 million and Tk. 22.81 respectively for the same period of the previous year.
APEX WEAVING:The company has further informed that due to unavoidable circumstances the meeting of the Board of Directors of the company scheduled to be held on 05.11.09 has been postponed.
SUMMIT PORT LTD:The company has informed that in response to their application dated 22 June 2009, the Board of Directors of Chittagong Stock Exchange Limited (CSE) in their meeting held on 3 November 2009 approved direct listing of Ocean Containers Limited, 100%- owned subsidiary of Summit Alliance Port Ltd. under Chittagong Stock Exchange (Direct Listing) Regulations, 2006 subject to compliance of requirements specified by CSE, vide letter dated 3 November 2009 addressed to Ocean Containers Limited.
HILL PLANT:The Board of Directors has recommended cash dividend @ 10% for the year 2008- 2009. Date of AGM: 24.12.09. Book Closure: 17.11.09 to 02.12.09. Other information of the AGM to be notified later.
BD PLANT:The Board of Directors has recommended cash dividend @ 10% for the year 2008- 2009. Date of AGM: 24.12.09. Book Closure: 17.11.09 to 02.12.09. Other information of the AGM to be notified later.
Expire Date: 2009-11-04
AZIZ PIPES:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported profit after tax of Tk. 4.57 million with EPS of Tk. 9.42 as against net loss of Tk. (23.05) million and EPS of Tk. (47.52) respectively for the same period of the previous year. Accumulated loss of the company was Tk. 434.38 million as on 30.09.09. Turnover and other income of the company was Tk. 248.76 million as on 30.09.09 as against Tk. 237.06 million as on 30.09.08.
FAREAST LIFE:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009 (from July to September), the company has reported an increase in life revenue account of Tk. 381.82 m. with total life insurance fund of Tk. 7,283.53 m. as against Tk. 411.68 m. and Tk. 5,089.32 m. respectively for the same period of the previous year. The company has also reported an increase in life revenue account for period of nine months ended on 30th September 2009 (from January to September) of Tk. 1,384.21 m. with total life insurance fund of Tk. 7,283.53 m. as against Tk. 1,114.47 m. and Tk. 5,089.32 m. respectively for the same period of the previous year.
FIRST LEASE INTERNATIONAL:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported profit after tax of Tk. 80.57 million with EPS of Tk. 35.03 as against Tk. 81.48 million and Tk. 35.42 respectively for the same period of the previous year.
STANDARD INSURANCE:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported profit after tax of Tk. 16.19 million with EPS of Tk. 10.79 as against Tk. 16.43 million and Tk. 10.95 respectively for the same period of the previous year.
BATBC:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009 (from January to September), the company has reported profit after tax of Tk. 1,637.01 million with EPS of Tk. 27.28 as against Tk. 1,125.91 million and Tk. 18.77 respectively for the same period of previous year.
RECKITT BENKIZER:As per un-audited quarterly accounts for the 3rd quarter ended on 30th September 2009, the company has reported profit after tax of Tk. 131.74 million with EPS of Tk. 27.88 as against Tk. 107.76 million and Tk. 22.81 respectively for the same period of the previous year.
Beximco gets all-clear
All companies of the Beximco Group, one of Bangladesh's biggest business conglomerates, have been off the list of loan defaulters since the quarter ending in June last, reports bdnews24.com.
A parliamentary committee was told this by the central bank.
On November 1, the Bangladesh Bank wrote back to the parliamentary standing committee on the ministry of finance to report that none of the companies of the Group, according to the June quarterly and September monthly database for this year, had any loans classified.
The performance of the companies of the Group has witnessed a spectacular recovery following the release of Salman Rahman late last year from detention by the army-installed emergency government.
After years of stagnation and poor growth, the Group is believed to have repaid, in less than a year, bank loans worth hundreds of millions of takas through adjustments such as offloading its 'hemorrhaging' concerns.
The letter of the central bank, obtained by bdnews24.com, was in response to an October 15 letter from A H M Mustafa Kamal, MP.
Mustafa Kamal, the chairman of the concerned parliamentary standing committee, told the on-line news service that he had asked the Bangladesh Bank to furnish him with details of the classified loan accounts of Beximco companies. "The data the central bank has sent clearly show none of the Beximco companies is defaulting any more," Kamal said.
The letter by the Bangladesh Bank to the chairman of the parliamentary standing committee read: "According to the latest Credit Information Bureau (CIB) database updated by banks and financial institutions, the June 2009 quarterly and Sept 2009 monthly credit information reports show that all concerned Beximco companies are free from any loan default."
On July 5, the finance minister, A M A Muhith, caused a furore by publishing a list of 2196 defaulting companies in parliament.
These companies, including several ones of the Beximco group topping the list, together owed to a commercial bank of about Tk 15.5 billion (15,500 crore) in the form of outstanding bank credits, mostly of classified or non-performing nature.
Days later, on July 9, the minister clarified that his list, which made big headlines in the print media, were based on months' old data. Muhith also admitted then that the publication of the 'flawed' list caused damage to the units of those companies and he promised to provide updated information later.
A parliamentary committee was told this by the central bank.
On November 1, the Bangladesh Bank wrote back to the parliamentary standing committee on the ministry of finance to report that none of the companies of the Group, according to the June quarterly and September monthly database for this year, had any loans classified.
The performance of the companies of the Group has witnessed a spectacular recovery following the release of Salman Rahman late last year from detention by the army-installed emergency government.
After years of stagnation and poor growth, the Group is believed to have repaid, in less than a year, bank loans worth hundreds of millions of takas through adjustments such as offloading its 'hemorrhaging' concerns.
The letter of the central bank, obtained by bdnews24.com, was in response to an October 15 letter from A H M Mustafa Kamal, MP.
Mustafa Kamal, the chairman of the concerned parliamentary standing committee, told the on-line news service that he had asked the Bangladesh Bank to furnish him with details of the classified loan accounts of Beximco companies. "The data the central bank has sent clearly show none of the Beximco companies is defaulting any more," Kamal said.
The letter by the Bangladesh Bank to the chairman of the parliamentary standing committee read: "According to the latest Credit Information Bureau (CIB) database updated by banks and financial institutions, the June 2009 quarterly and Sept 2009 monthly credit information reports show that all concerned Beximco companies are free from any loan default."
On July 5, the finance minister, A M A Muhith, caused a furore by publishing a list of 2196 defaulting companies in parliament.
These companies, including several ones of the Beximco group topping the list, together owed to a commercial bank of about Tk 15.5 billion (15,500 crore) in the form of outstanding bank credits, mostly of classified or non-performing nature.
Days later, on July 9, the minister clarified that his list, which made big headlines in the print media, were based on months' old data. Muhith also admitted then that the publication of the 'flawed' list caused damage to the units of those companies and he promised to provide updated information later.
Active Fine co to issue IPO
FE Report
Janata Bank Ltd has shouldered the responsibility of issuing Initial Public Offering (IPO) of Active Fine Chemicals Ltd (AFCL) subject to the approval of SEC .
A memorandum of understanding (MoU) was signed between the two companies to this effect. Janata Bank Limited Managing Director and CEO SM Aminur Rahman and Active Fine Chemicals Limited Managing Director SM Saifur Rahman signed the MoU on behalf of their respective sides in the city.
Among others, deputy managing directors and general managers of the bank and high officials of Active Chemicals were present at the signing ceremony.
Janata Bank Ltd has shouldered the responsibility of issuing Initial Public Offering (IPO) of Active Fine Chemicals Ltd (AFCL) subject to the approval of SEC .
A memorandum of understanding (MoU) was signed between the two companies to this effect. Janata Bank Limited Managing Director and CEO SM Aminur Rahman and Active Fine Chemicals Limited Managing Director SM Saifur Rahman signed the MoU on behalf of their respective sides in the city.
Among others, deputy managing directors and general managers of the bank and high officials of Active Chemicals were present at the signing ceremony.
Online trading in DSE within six months- US envoy lauds dev in stock market
FE Report
The Dhaka Stock Exchange (DSE) will introduce online trading system within six months to expedite stock trading, the DSE chief said Tuesday.
"For fast moving markets, it is needed to introduce the system," DSE President Md Rakibur Rahman told reporters after a meeting with James F Moriarty, US Ambassador in Dhaka, at the bourse's auditorium.
"We'll try to translate internet-based trading system into reality within six months," Rahman said adding that the settlement period will be reduced to one day from the existing three days following the central bank's approval of online money transaction from one bank to another.
On Monday, Bangladesh Bank gave the groundbreaking directives to commercial banks through a circular, saying from now on their clients can pay power, water, gas and phone bills from bank accounts and transfer funds within a bank or to other banks.
The banks have been asked to accept any payment their clients make for purchase or sale of goods or services using e-commerce platform and facilitate online credit card payments in local currency.
Rakib said the US ambassador, who visited the bourse on the day, appreciated the development of the Bangladesh stock markets and called to maintain transparency and accountability further in the market to protect the small investors' interest.
Meanwhile James F Moriarty, in his written speech said, "Bangladesh's financial sector was largely insulated from the global financial crisis. The country still must guard against threats to its capital markets, however. All markets need independent and transparent regulatory oversight to help investors minimise risk."
He said, a lack of independent regulators or an opaque system of rules means capital markets are vulnerable to manipulation, corruption and collapse.
"A transparent and equitably-applied rules help ensure confidence in markets. And confidence is the lynch-pin of market structures," he said adding that when people lose confidence, markets crash, individuals lose their savings and investments.
"I urge DSE to implement clear and fair financial rules that allow shareholders to maximise benefits and minimise risks," he said.
He said, "Investors have more confidence in markets that apply regulations equitably and clearly and that protect against corruption and manipulation. Confident investors attract more savers and investors, which in turn leads to healthy, stable markets."
Capital markets are yet another toll for Bangladesh to use as it builds an economy that raises incomes, alleviates poverty and moves the country ahead, he said.
Internet-based or online trading system means buying and selling stocks by giving the order through internet, usually on a broker's form. Confirmation is done by mail or e-mail.
Through this system, anybody can observe the market situation on the internet and place buy and sale order through one's respective broker.
The Dhaka Stock Exchange (DSE) will introduce online trading system within six months to expedite stock trading, the DSE chief said Tuesday.
"For fast moving markets, it is needed to introduce the system," DSE President Md Rakibur Rahman told reporters after a meeting with James F Moriarty, US Ambassador in Dhaka, at the bourse's auditorium.
"We'll try to translate internet-based trading system into reality within six months," Rahman said adding that the settlement period will be reduced to one day from the existing three days following the central bank's approval of online money transaction from one bank to another.
On Monday, Bangladesh Bank gave the groundbreaking directives to commercial banks through a circular, saying from now on their clients can pay power, water, gas and phone bills from bank accounts and transfer funds within a bank or to other banks.
The banks have been asked to accept any payment their clients make for purchase or sale of goods or services using e-commerce platform and facilitate online credit card payments in local currency.
Rakib said the US ambassador, who visited the bourse on the day, appreciated the development of the Bangladesh stock markets and called to maintain transparency and accountability further in the market to protect the small investors' interest.
Meanwhile James F Moriarty, in his written speech said, "Bangladesh's financial sector was largely insulated from the global financial crisis. The country still must guard against threats to its capital markets, however. All markets need independent and transparent regulatory oversight to help investors minimise risk."
He said, a lack of independent regulators or an opaque system of rules means capital markets are vulnerable to manipulation, corruption and collapse.
"A transparent and equitably-applied rules help ensure confidence in markets. And confidence is the lynch-pin of market structures," he said adding that when people lose confidence, markets crash, individuals lose their savings and investments.
"I urge DSE to implement clear and fair financial rules that allow shareholders to maximise benefits and minimise risks," he said.
He said, "Investors have more confidence in markets that apply regulations equitably and clearly and that protect against corruption and manipulation. Confident investors attract more savers and investors, which in turn leads to healthy, stable markets."
Capital markets are yet another toll for Bangladesh to use as it builds an economy that raises incomes, alleviates poverty and moves the country ahead, he said.
Internet-based or online trading system means buying and selling stocks by giving the order through internet, usually on a broker's form. Confirmation is done by mail or e-mail.
Through this system, anybody can observe the market situation on the internet and place buy and sale order through one's respective broker.
DSE bullish run takes a pause
FE Report
Dhaka stocks slid slightly on profit taking Tuesday, snapping the third straight day of record-breaking rally.
The market was in the positive territory before starting to decline from third hour of the trade as the investors booked profit on banks, non-banking financial institutions (NBFIs) and Beximco Group subsidiaries.
The Dhaka Sock Exchange (DSE) General Index (DGEN) lost 3.06
points or 0.08 per cent to 3409.85, after touching 3430.49 at one stage.
The broader DSE All Shares Price Index (DSI) skidded 2.97 points or 0.10 per cent to 2850.74 while the DSE-20 blue chip index rose 6.37 points or 0.27 per cent to 2313.53.
"After a long rally, profit takers pulled the market down," said Moin Al-Kasem, managing director of the Prime Finance and Investment Asset Management Company.
Total turnover came down to Tk 8.19 billion, down 14 per cent against the previous session's Tk 9.5 billion.
Losers took a strong lead over the gainers as out of 237 issues traded, 94 advanced, 138 declined and five remained unchanged.
After back to back sessions of rally, the banking sector, the bellwether of the stock market, edged lower on profit taking.
The NBFIs also traded in the red. All the mutual funds and subsidiaries of Beximco Group went down while pharmaceuticals marginally nudged higher.
Energy, cement, tannery and multinational companies advanced. General insurer finished in mix while most of the life insurer rose
Dhaka stocks slid slightly on profit taking Tuesday, snapping the third straight day of record-breaking rally.
The market was in the positive territory before starting to decline from third hour of the trade as the investors booked profit on banks, non-banking financial institutions (NBFIs) and Beximco Group subsidiaries.
The Dhaka Sock Exchange (DSE) General Index (DGEN) lost 3.06
points or 0.08 per cent to 3409.85, after touching 3430.49 at one stage.
The broader DSE All Shares Price Index (DSI) skidded 2.97 points or 0.10 per cent to 2850.74 while the DSE-20 blue chip index rose 6.37 points or 0.27 per cent to 2313.53.
"After a long rally, profit takers pulled the market down," said Moin Al-Kasem, managing director of the Prime Finance and Investment Asset Management Company.
Total turnover came down to Tk 8.19 billion, down 14 per cent against the previous session's Tk 9.5 billion.
Losers took a strong lead over the gainers as out of 237 issues traded, 94 advanced, 138 declined and five remained unchanged.
After back to back sessions of rally, the banking sector, the bellwether of the stock market, edged lower on profit taking.
The NBFIs also traded in the red. All the mutual funds and subsidiaries of Beximco Group went down while pharmaceuticals marginally nudged higher.
Energy, cement, tannery and multinational companies advanced. General insurer finished in mix while most of the life insurer rose
SEC arranges investors’ awareness programme
Bangladesh Sangbad Sangstha . Dhaka
The Securities and Exchange Commission has arranged a programme to create awareness among investors by educating them in share investment.
An SEC announcement on Tuesday said the programme would help investors taking proper decision in buying and selling shares.
The programme will be held on the second and the fourth Wednesday and Thursday of each month from 10 am to 4:30 pm up to June 2010. If any of those days fall in government holidays, the programme will be held on the following working days.
Each session will cover the topics including functions of the SEC and stock exchange, investment in primary market, investment in the secondary market and central depository system.
The programme will be free of cost but pre-enrollment/registration is mandatory. Total participants for each session will be 30 and the registration will be on the first come first served basis.
The Securities and Exchange Commission has arranged a programme to create awareness among investors by educating them in share investment.
An SEC announcement on Tuesday said the programme would help investors taking proper decision in buying and selling shares.
The programme will be held on the second and the fourth Wednesday and Thursday of each month from 10 am to 4:30 pm up to June 2010. If any of those days fall in government holidays, the programme will be held on the following working days.
Each session will cover the topics including functions of the SEC and stock exchange, investment in primary market, investment in the secondary market and central depository system.
The programme will be free of cost but pre-enrollment/registration is mandatory. Total participants for each session will be 30 and the registration will be on the first come first served basis.
DSE halts margin loan to Paramount Insurance
Bangladesh Sangbad Sangstha . Dhaka
Dhaka Stock Exchange on Tuesday halted margin loan facility to Paramount Insurance Company after the changes of its category.
The DSE has upgraded the status of the company to B (mid) category from the existing Z (junk) category as the company declared 5 percent dividend for the year 2008.
A DSE announcement posted on its web site directed the stock brokers and merchant bankers not to provide loan facilities to purchase shares of the insurance company between 1st to 30th trading days after the changes of the category.
Dhaka Stock Exchange on Tuesday halted margin loan facility to Paramount Insurance Company after the changes of its category.
The DSE has upgraded the status of the company to B (mid) category from the existing Z (junk) category as the company declared 5 percent dividend for the year 2008.
A DSE announcement posted on its web site directed the stock brokers and merchant bankers not to provide loan facilities to purchase shares of the insurance company between 1st to 30th trading days after the changes of the category.
DSE to introduce online trading
Staff Correspondent
Dhaka Stock Exchange will introduce internet-based trading system within six months to expedite stock trading.
‘For a fast moving market, it is needed to introduce the system,’ DSE president Rakibur Rahman told reporters after a meeting with the US ambassador James F Moriarty at the bourse’s auditorium Tuesday.
‘We’ll try to introduce the internet-based trading system by six months,’ he said.
Internet-based or online trading system means buying and selling stocks by giving the order though internet, usually on a broker’s form. In this system, buy or sale confirmation is done by mail or e-mail.
The DSE president said the settlement period would also be reduced to one day from existing three days if commercial banks launch online money transaction from one bank to another by December in compliance of the central bank’s directive.
On Monday, Bangladesh Bank issued a circular that said from now onwards the subscribers would be able to pay utility bills online from their bank accounts and also transfer funds to other banks. It added that transactions between buyers and sellers can also take place online, enabling e-commerce facilities in the country.
Through the online trading system, anybody can observe the market situation on the internet and place buy and sale order through one’s respective broker.
Quoting the US ambassador the DSE chief said, ‘He appreciated the development of the Bangladesh stock market and called to enhance transparency and accountability in the market to protect the small investors’ interest.’
Dhaka Stock Exchange will introduce internet-based trading system within six months to expedite stock trading.
‘For a fast moving market, it is needed to introduce the system,’ DSE president Rakibur Rahman told reporters after a meeting with the US ambassador James F Moriarty at the bourse’s auditorium Tuesday.
‘We’ll try to introduce the internet-based trading system by six months,’ he said.
Internet-based or online trading system means buying and selling stocks by giving the order though internet, usually on a broker’s form. In this system, buy or sale confirmation is done by mail or e-mail.
The DSE president said the settlement period would also be reduced to one day from existing three days if commercial banks launch online money transaction from one bank to another by December in compliance of the central bank’s directive.
On Monday, Bangladesh Bank issued a circular that said from now onwards the subscribers would be able to pay utility bills online from their bank accounts and also transfer funds to other banks. It added that transactions between buyers and sellers can also take place online, enabling e-commerce facilities in the country.
Through the online trading system, anybody can observe the market situation on the internet and place buy and sale order through one’s respective broker.
Quoting the US ambassador the DSE chief said, ‘He appreciated the development of the Bangladesh stock market and called to enhance transparency and accountability in the market to protect the small investors’ interest.’
Tuesday, November 3, 2009
DSE GENERAL INDEX & TURNOVER
03.11.09 TUES DAY
TURNOVER:▼Tk 8,183.11 million
DGEN:▼3409.85426
INDEX CHANGE:▼3.06677
ADVANCE :94
DECLINE:138
UNCHANGED:5
..................................................................................
02.11.09 MON DAY
TURNOVER:▼Tk 9,517.87 million
DGEN:▲3412.92103
INDEX CHANGE:▲20.89951
ADVANCE :116
DECLINE :116
UNCHANGED:3
TURNOVER:▼Tk 8,183.11 million
DGEN:▼3409.85426
INDEX CHANGE:▼3.06677
ADVANCE :94
DECLINE:138
UNCHANGED:5
..................................................................................
02.11.09 MON DAY
TURNOVER:▼Tk 9,517.87 million
DGEN:▲3412.92103
INDEX CHANGE:▲20.89951
ADVANCE :116
DECLINE :116
UNCHANGED:3