Rights Issue inspires investor confidence

By Hiran H.Senewiratne 

Renuka Holdings PLC’s Rights Issue concluded on Wednesday, raising Rs.1.08 billion, higher than the required 1.03 billion for complete subscription of the offer, signalling strong investor confidence. 

Amid those developments the market was sluggish  and shares fell the most in a month , dragged down by losses in consumer staples and industrial stocks. Indices indicated mixed reactions. All Share Price Index was 8.59 points up and S and P SL20 down by 5.50 points. The turnover stood at Rs. 1.72 billion with three crossings. Those crossings were reported in Commercial Bank, which crossed 800,000 shares to the tune of Rs. 64 million; its shares traded at Rs.80, Melstacorp 500,000 shares crossed for Rs. 24.9 million, its shares settled at Rs. 49.80 and TJ Lanka 527,000 shares crossed for Rs. 20 million, its shares were Rs. 38.

In the retail market top five contributors to the turnover were; Browns Investments Rs. 234.6 million (60.5 million shares traded), Hemas Holdings Rs. 93.1 million (999,000 shares traded), Dialog Rs. 92.7 million (7.2 million shares traded), CT Holdings Rs. 88.5 million (547,000 shares traded) and Commercial Bank Rs. 87.7 million (1.1 million shares traded). During the day 116.5 million share volumes changed hands in 15282 transactions.

The Sri Lankan rupee was quoted at 186.5 against the US dollar as of 10:42 GMT, 0.21 percent higher for the day compared to last session’s close of 186.9. The currency has been down 2.87 percent  so far this year.