GP-rebound takes DGEN to new high

FE Team | Published: November 21, 2009 00:00:00 | Updated: February 01, 2018 00:00:00

FE Report
The benchmark index of the Dhaka Stock Exchange (DSE) jumped more than 20 per cent, first time in a week, supported by the country's telecom giant Grameenphone's impressive debut.
In the week that ended on Thursday, the benchmark DSE General Index (DGEN) gained 761.88 points or 22.52 per cent to 4144.75, which is a new high, as the GP, the most weighted share in the market, added 717 points in its debut day Monday.
The broader DSE All Shares Price Index (DSI) finished at 3436.36 with a rise of 603 points or 21.18 per cent while the DSE-20 blue chips index increased by 79.30 points or 3.47 per cent to 2364.56.
However, ongoing credit tightening measures by the securities regulator have slowed down the trading activity, causing the turnover to fall sharply during the week.
The week's daily average turnover stood at Tk 8.05 billion, down 16.06 per cent over the previous week.
Majority went up during the week excepting those of jute sector. A new sector was included, which is telecommunication because of GP listing with the stock exchanges.
Share trading of the country's largest issue GP began on Monday on the country's bourses - DSE and Chittagong Stock Exchange.
The opening price of GP, which raised Tk 4.9 billion ($71 million) worth of shares through IPO last month, was Tk 160 in its debut day and the closing price on Thursday was Tk 164.
At close of the week the price appreciated 154 per cent from its face value of Tk 10, and 134.3 per cent from its IPO price. The range for the week was Tk 152 to Tk 195.
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 revenue that is, according to the analysts, likely to touch $1.0 billion in the current calendar year.
During the week, telecommunication sector went up by 134 per cent as the GP shares appreciated more than 100 per cent from its face value. The banking sector, which saw modest gain in the previous week, performed better in the week, advancing 3.55 per cent.
The non-banking financial institution (NBFI) was also shining sector as it moved up by 6.35 per cent, reversing from previous session's losing streak.
The mutual fund sector gained 3.59 per cent, cement five per cent, energy 2.28 per cent and pharmaceuticals 3.36 per cent. General insurance sector increased seven per cent while the life insurance gained 3.87 per cent and tannery four per cent
Gainers beat losers as out of 256 issues traded, 205 went into the positive territory, 36 into the negative, three remained unchanged and 12 were not traded.
Grameenphone was the top turnover leaders with shares worth Tk 2.52 billion traded.
It was followed by Titas Gas, Jamuna Oil, Beximco Ltd, Padma Oil, AB Bank, Summit Alliance Port Limited, Social Islami Bank Ltd, Bextex Limited and DESCO.
The week's major gainers were Desh Garments, Padma Oil, Purabi General Insurance, First Lease Finance and Investment, Sonarbangla Insurance, Islamic Finance, Social Islamic Bank, Continental Insurance, Renwick Jajneswar and Ambee Pharma.
Apex Weaving, Therapeutics (TBL), Samorita Hospital, CMC Kamal, Olympic Industries, Bangla Process, DESCO, Singer Bangladesh, National Tubes and Titas Gas.