Colombo Bourse ended an enthusiastic trading session on Thursday recording a nearly 3-week high turnover of LKR 5.6bn. Benchmark All share price index gained 36.00 points or 0.50% to end at 7,199.25 while S&P SL 20 index crossed the 4,000 level today to close at 4,013.18 with a gain of 24.59 points or 0.62%.

The gains were led by price progressions in counters such as Sri Lanka Telecom (closed at LKR 55.00, +3.6%), Commercial Bank (closed at LKR 163.50, +2.1%) and Commercial Leasing & Finance (closed at LKR 5.00, +8.7%).

Odel emerged as the top contributor to the market turnover with 2.7bn underpinned by several crossings where 121.3mn shares changed hands at LKR 22.00 per share. According to announcements made, Otara Gunewardena, Ajith Gunewardena and Ruchi Gunewardena have divested their shareholding of the company (44.6% of the issued quantity) for a total consideration of LKR 2.7bn.

Buyer of this stake was Softlogic Holdings and its subsidiary Softlogic Retail (Pvt) Ltd where the two companies acquired 123mn shares (45.2% of the issued quantity) at a price range of LKR 21.80 & LKR 22.00. Accordingly, a mandatory offer to purchase all remaining shares of Odel will be made in due course.

Further, crossings were recorded in BRAC Lanka Finance (59.6mn shares at LKR 9.70 per share), Tokyo Cement non-voting (4.6mn shares at LKR 39.00 per share), John Keells Holdings (0.5mn shares at LKR 260.00 per share), The Fortress Resorts (5.9mn shares at LKR 20.00 per share), Lanka IOC (1.2mn shares at LKR 47.00 per share), Vallibel Power (4mn shares at LKR 6.20 per share), National Development Bank (0.1mn shares at LKR 245.00 per share) and Royal Ceramic (0.2mn shares at LKR 116.00 per share). Total crossings accounted for 68% of the total market turnover.

Out of 281 equities traded, 155 advanced, 62 slipped while 64 remained unvaried. Cash map inclined to 59% from 51%. 38 counters touched 52wk high prices.

Meanwhile, Union Bank, Odel and Lanka Cement were among heavily traded counters.

Foreign investors were net buyers with a net inflow of LKR 565mn. Foreign participation was 8%. Net foreign inflows were seen in counters such as John Keells Holdings (LKR 203mn), Tokyo Cement non-voting (LKR 139mn) and Lanka IOC (LKR 69mn) while net foreign outflow was mainly seen in Laugfs Gas non-voting (LKR 14mn).

Meanwhile Cargills (Ceylon) announced a voluntary offer to acquire the shares of Kotmale Holdings (not already owned by Cargills or its subsidiaries) at LKR 62.50 per share.

Further, subsequent to the private placement (at LKR 10.00 per share), 235mn shares of Hotel Developers were listed in CSE today.

Lanka Securities Research