Big SLT sale drives turnover on CSE to Rs. 1.8 billion

A surge of activity in SLT where over 32.9 million shares were traded yesterday carried turnover on the Colombo bourse to Rs.1.78 billion, up from Tuesday’s holiday-hit Rs.98.05 million, with both indices moving up – the All Share by 22.15 points (0.84%) and the Milanka by 27.60 points (0.84%).

The bulk of yesterday’s SLT sale, amounting to 1.7% of the company, was attributed to a high net worth expatriate of Sri Lankan descent who had been buying the stock from Rs.40 up as the counter moved in anticipation of the NTT stake being sold to the Malaysian buyer.

"31 Million shares of the quantity that was done yesterday was a single crossing with a Hong Kong buyer," a broker said.

Asked why the seller could not wait a few weeks more and collect the Rs.50.50 price on the mandatory offer rather than exit at Rs. 49, he cryptically replied: "Cash upfront. He made about ten rupees on a share."

The seller did not sell his total holding. He retains a couple of million shares, brokers said.

Renewed interest in ceramic and plantation stock was evident yesterday with counters like Lanka Walltiles, Lanka Ceramics and Royal Ceramics demonstrating volume as did some plantation shares including Maskeliya, Madulsima, Agalawatte and Talawakelle.

Smaller quantities of Namunukula, Kotagala and Balangoda were also done.

The SLT trades contributed over Rs.1.6 billion to yesterday’s turnover followed by Rs.13.6 million from Lanka Walltiles where nearly 0.2 million shares were done between Rs.74 and Rs.84 with the counter closing at Rs.80 gaining Rs.5.

Overseas Realty gained 50 cents on over 0.8 million shares traded between Rs.13.75 and Rs.14.25 closing at Rs.14.25.

Among the plantation stock Maskeliya (nearly 0.4 million shares) gaining a rupee, Madulsima (0.3 million shares) gaining Rs.1.25 and Agalawatte (over 0.1 million shares) gaining 50 cents stood out.

Other than Lanka Walltiles in the ceramics sector, Lanka Ceramics was up Rs.5 on over 0.1 million shares closing at Rs.59 and Royal Ceramics up Rs.1.75 on 0.1 million shares closing at Rs.46.50. Lanka Tiles also saw 39,600 shares traded gaining Rs.3.25 to close at Rs.68.

The indices were helped by market heavyweight Dialog gaining 25 cents on a relatively small quantity of 0.1 million shares.