Sampath Bank to effect sub-division of shares

By Hiran H. Senewiratne

Sampath  Bank announced a sub division of its shares on the basis of the formula of one existing  share for three new shares. The  purpose  of this move is to increase market  capitalization, stock  market analysts said.

Under this sub division the bank will  issue 381.5 million shares. With  this sub division, its shares  will be increased  to 1.14 billion. With this development, the  Sampath Bank share price has appreciated  by 22 per cent or Rs. 36. Sampath Bank shares started trading at Rs.166.75 and at the end of the day they moved up to Rs. 203.

Amid  those developments both indices showed mixed reactions yesterday. All share price index went down by 90 points and S and P Sl 20 rose by 33.7 points.

Turnover touched Rs13.4 billion with four crossings. Those  crossings were reported in Pan Asia bank which crossed 3.5 million shares  to the tune of Rs. 68.3 million, its shares  traded  at Rs19.50, Sanasa Development Bank  8500 shares crossed for Rs. 55.7 million and its share traded at Rs 65.50,Commercial  bank crossed 343000 shares for Rs. 33.9 million and its shares traded at Rs. 99 and Soft logic Holdings 1.6millon shares  crossed for Rs. 21.7 million, its shares trading at Rs. 13.50.

In the retail market, top five companies that contributed to the turnover were, Sampath Bank Rs. 3 billion, LOLC Rs. 2.14  billion, Vallibel One Rs. 1.15 billion, Expo Lanka Rs. 962 and Browns Investments Rs. 593 million. During the day 336millon share volumes changed hands in  61895 transactions.