Colombo share market started weekly operations on a negative note where both indices shed some of the hefty returns gained on last seven consecutive sessions. ASI declined by 43.71 index points or -0.61% to close at 7,174.97 while 20-scrip S&P SL index slipped by 41.21 index points or -1.03% to end at 3,974.42. Price declines in heavy cap counters such as Commercial Bank (closed at LKR 155.10, -3.8%), Sri Lanka Telecom (closed at LKR 54.00, -0.6%) & Carson Cumberbatch (closed at LKR 440.00, -3.3%) contributed negatively to the index performance.

Daily market turnover was LKR 1.6bn. Several crossings were recorded in People’s Leasing (6.4mn shares at LKR 19.00), Hayleys (0.3mn shares at LKR 325.00), Softlogic Capital (12.2mn shares at LKR 5.70), Janashakthi Insurance (2.9mn shares at LKR 19.20-19.50), ACL Plastics (0.2mn shares at LKR 134.90) & Taprobane Holdings (5.0mn shares at LKR 4.40). Aggregate value of crossings accounted for 25% of the total turnover.

People’s Leasing & Finance emerged as the top contributor to the turnover with LKR 145mn closely followed by Access Engineering (LKR 142mn) & Janashakthi Insurance (LKR 137mn) respectively.

Subsequent to the listing of right issue shares of Browns Investments, counter attracted heavy interest during the session. Share reached to an intraday high of LKR 1.90 and closed at LKR 1.80, (+5.9%). Union Bank, George Steuart Finance & Odel were among other heavily traded equities.

Following the dividend announcement of LKR 0.18 per share, Asia Siyaka reached LKR 3.70, (+8.8%) and was the top gainer of the day.

Out of 271 counters, 146 slipped, 72 advanced while 53 remained unchanged. Cash map declined to 45% from 59%. 18 counters climbed to 52wk high price levels.

Foreign investors were net sellers after 11 consecutive sessions of net inflows. The total net outflow for the day was LKR 117mn while foreign participation was 14%. Net foreign outflows were seen in People’s Leasing & Finance (LKR 134mn), Sampath Bank (LKR 26mn), Commercial Bank (LKR 17mn) while net foreign inflow was mainly seen in Access Engineering (LKR 48mn).

Further, debenture issue of People’s Leasing & Finance was oversubscribed within hours opening for subscription. The company intended to raise LKR 3bn through this debenture issue.

Lanka Securities Research