Unilever Consumer surges 89 per cent in 12 days

Unilever Consumer Care, a subsidiary of Unilever Bangladesh, is witnessing an unprecedented price hike after change of the company's brand name from GlaxoSmithKline Bangladesh.
Earlier on November 26, DSE approved GlaxoSmithKline name to Unilever Consumer Care and since then share prices of the company continued soaring by maximum allowable limit on stock exchange.
The DSE made the decision as Unilever Consumer Care requested the bourse to change the name after the change of the company's ownership.
Within 12 trading sessions, the multinational company's share price jumped more than 89 per cent or Tk 1,811 each to close at Tk 3,858.70 on Monday on the main bourse of the country.
Its share price was Tk 2,046.8 on November 25. The price was also the floor price of the company, meaning that share prices of the company cannot be declined below the price.
Earlier on June 28, Unilever acquired GlaxoSmithKline (GSK) Bangladesh through buying 82 per cent of GSK Bangladesh shares for more than Tk 20.20 billion, which has been listed with the bourses since 1976.
Under the acquisition, Unilever got the ownership of GSK's iconic health food and drinks (HFD) portfolio brands including Horlicks, Boost and Glaxose-D.
Unilever Overseas Holdings BV, a concern of Unilever, bought 98, 75,144 shares of GSK Bangladesh for Tk 2,046 each on the block market of the Dhaka Stock Exchange on the day.
Following the 'abnormal' price hike, the DSE served show-cause notice on the company recently.
The company, however in a knee-jerk response informed the DSE that there was no undisclosed price sensitive information for recent unusual price hike of its shares.
Even after being served show-cause notice, the company's share price has not stopped rising.
Now the Unilever Consumer's stock is the second highest pricey stock on the DSE after Reckitt Benckiser (Tk 4,396).
Reckitt Benckiser (Bd) share also jumped 21 per cent or Tk 776 each in 12 trading days to close at Tk 4,396 on Monday.
Market analysts said the investors should not pay heed to any rumours related to companies and take their investment decisions prudently.
Senior executives of the company could not be reached over telephone.
Share prices of newly-listed Dominage Steel Building Systems continued to soar as its share jumped 9.89 per cent further on Monday riding on investors' 'irrational hype' over the new issue.
The steel building maker's share price jumped 333 per cent in nine trading days after debut to close at Tk 43.30 on Monday from its issue price of Tk 10 each.
The company made a flying trading debut as its share price rose 50 per cent -- the highest allowable limit-on debut on trading day on December 2.
The company's trading was halted within few minutes in every trading session as investors rushed for buying its shares.
The Dominage Steel raised Tk 300 million from the capital market by issuing 30 million ordinary shares with an offer price of Tk 10 each using the fixed price method.
The company will utilise the IPO proceeds for acquisition of new plant & machinery (55.77 per cent), building and other construction (30.14 per cent), electrical installation (7.56 per cent) and bearing the IPO related expenses (6.53 per cent).

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