Monday, December 23, 2013

Today 5,846.42 3,224.24 Point Change - 10.94 - 3.93 % Change -0.19 % q -0.12 % q

ASPI S&P SL 20 Index YTD Performance ASPI S&P SL 20 Index

Level 23, East Tower, World Trade Centre, Colombo 01 Tel: +94 11 727 7000, Fax: +94 11 727 7099 Email: research@equity.softlogic.lk

3.6% 4.5% 267.8 826.0 15.0 37.6 2,432.3 83.1 128.8 45.7 22.3

Today's Turnover (LKR mn) Annual Average Daily Turnover (LKR mn) Volume (mn) Annual Average Daily Volume (mn) Market Capitalization (LKR bn) Net Foreign Inflow / (Outflow) [LKR mn] - Foreign Buying (LKR mn) - Foreign Selling (LKR mn) YTD Net Foreign Inflow / (Outflow) [LKR bn]

Bourse performance weakens; activity decline

CSE Diary for 23.12.2013

Index dips during 2nd half; Colombo bourse edged lower losing 10 points for the day while the S&P SL20 was flat with only a 4 points decline. During the 1st half of the day the ASPI was mostly flat with marginal movement either way, however the index saw a downtrend led by Ceylon Tobacco Company, Carson Cumberbatch, John Keells Holdings and Lion Brewery. Off-board deals in HAYL and HNB: Despite the dormant turnover the market saw 2 crossings during the day in Hayleys and HNB. Hayleys recorded a block of 157k shares which was dealt at LKR295.0. On-board activity was weak in the counter. Hatton National Bank also recorded a crossing of 310k shares at LKR141.5. On-board blocks draw interest in ASCO and BLUE: Ascot Holdings registered a mid-sized on-board transaction of 125k shares at LKR135.0 while retail

favourite counter Blue Diamonds saw similar onboard blocks with 5 blocks of over 500k shares taking place at LKR3.5 and LKR3.4 whilst the largest block being 1.1mn shares. Investor interest was also noted in value counters; Peoples Leasing, Vallibel One and Tokyo Cement. Retail activity was moderate: Despite the dormant turnover, active retail play was noted in Blue Diamonds following the large on-board blocks of the counter. Further retail interest was recorded in Vallibel One and Tokyo Cement.

Statistical Look Up
Treasury Bill (%) 3 months 6 months 12 months AWPLR Excess Liquidity (LKR 'bn) as at 23.12.2013 Inflation (%) Nov-13 YoY Change Annual Avg Week ending 20.12.2013 7.73 8.53 9.68 -26.81 5.6 7.3 8.19

5900 5850

Index

5800 5750
5700 5650

ASPI
3220

Turnover LKR ('mn)

3240

Index

3200
3180 3160 3140

3120

1,400 1,200 1,000 800 600 400 200 0

200.0

Volume ('mn)

150.0 100.0 50.0

0.0

S&P SL20

Turnover

Volume

Today All Share Price Index S&P SL20 Index Turnover (LKR mn) Turnover (USD mn) Volume (mn shares) Traded Entities Market Capitalization (LKR bn) Foreign Purchases (LKR mn) Foreign Sales (LKR mn) Net Foreign Inflow (LKR mn) Market PER (X) Market PBV (X) Market Dividend Yield SECTOR INDICES Banks, Finance & Insurance Beverage, Food & Tobacco Construction & Engineering Diversified Healthcare Hotels & Travels Land & Property Manufacturing Plantation Telecom 5,846.4 3,224.2 267.8 2.0 15.0 215 2,432.3 128.8 45.7 83.1 15.0 2.0 3.0 Today 12,831.0 20,084.6 2,767.9 1,736.0 693.9 3,174.1 557.3 2,816.0 710.1 156.6

Pre Day 5,857.4 3,228.2 1,058.4 8.1 26.6 212 2,436.8 195.3 495.7 -300.4 15.0 2.0 3.0 Pre Day 12,960.5 20,052.1 2,787.1 1,733.4 696.3 3,172.2 557.3 2,818.3 709.7 156.6

Change % -0.19% q -0.12% q -74.69% -74.69% -43.62% 1.42% -0.19% -34.04% -90.77% -127.66% -0.19% -0.18% 0.00% % Change -1.00% 0.16% -0.69% 0.15% -0.34% 0.06% 0.01% -0.08% 0.05% 0.00% q p q p q p p q p p

Last Week 5,795.7 3,185.7 414.7 3.2 17.6 218 2,411.2 158.9 201.3 -42.4 14.8 2.0 3.0 Last Week 12,711.1 19,797.9 2,667.4 1,706.9 707.0 3,155.3 539.0 2,824.3 696.8 156.6

% WoW Change 0.88% 1.21% -35.41% -35.41% -14.82% -1.38% 0.87% -18.94% -77.29% -295.96% 0.87% 0.88% 0.00% % WoW Change 0.94% 1.45% 3.77% 1.70% -1.85% 0.60% 3.41% -0.30% 1.90% 0.00%

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High Index Calibre USD350 Mn

Company
JOHN KEELLS HOLDINGS CEYLON TOBACCO CARSON CUMBERBATCH NESTLE LANKA SRI LANKA TELECOM COMMERCIAL BANK [V] BUKIT DARAH DIALOG AXIATA HNB [V] AITKEN SPENCE DISTILLERIES LOLC CARGILLS DFCC BANK SAMPATH BANK ASIAN HOTELS & PROPERTIES

% of Mkt Cap 9.0% 8.7% 2.8% 4.7% 2.7% 4.0% 2.6% 3.0% 1.9% 1.7% 2.4% 1.4% 1.3% 1.4% 1.2% 1.2%

Volume 5,696 160 508 12 1,350 542,229 75 111,609 312,282 5,405 701 1,718 3 5,823 757 1,352

Turnover LKR ('000) 1,261.79 182.65 173.82 25.33 49.49 66,135.89 46.06 1,004.51 44,186.94 540.77 133.20 125.15 0.44 734.41 129.72 87.91

Turnover USD ('000) 9.65 1.40 1.33 0.19 0.38 505.85 0.35 7.68 337.97 4.14 1.02 0.96 0.00 5.62 0.99 0.67

Intraday High (LKR) 223.50 1,150.00 343.00 2,111.00 36.80 122.00 614.10 9.10 142.00 100.60 195.00 74.90 146.10 127.00 172.00 65.50

Intraday Low (LKR) 221.00 1,125.00 342.00 2,110.00 36.60 120.00 614.00 9.00 141.00 100.00 190.00 72.10 146.10 126.00 170.00 64.10

Close 221.60 1,128.00 342.20 2,111.00 36.60 121.90 614.10 9.00 141.10 100.00 195.00 72.80 146.10 126.00 170.10 65.00

Price Gainers
Company
TESS AGRO RADIANT GEMS LANKA CERAMIC CEYLINCO INS. BLUE DIAMONDS

Price Losers
Today 1.40 47.80 114.00 1,347.70 3.50 Change + 0.20 + 6.30 + 10.20 + 117.70 + 0.30 % Change Company 16.67% 15.18% 9.83% 9.57% 9.37%
LANKA CENTURY [W0003] S M B LEASING [X] TESS AGRO [X] PARAGON SAMSON INTERNAT.

Today 0.20 0.30 1.00 725.00 85.00

Change - 0.10 - 0.10 - 0.30 - 146.00 - 14.20

% Change -33.33% -25.00% -23.08% -16.76% -14.31%

Top 05 Performers for the Day

Company
COMMERCIAL BANK HAYLEYS HNB ASCOT HOLDINGS BLUE DIAMONDS

Today 121.90 293.00 141.10 137.00 3.50

Pre Day 120.00 293.00 142.40 136.00 3.20

% Change 1.58% 0.00% -0.91% 0.74% 9.37%

Volume (mn) 0.54 0.16 0.31 0.13 4.71

Contribution to Total T/O 2.7% 1.9% 1.8% 0.7% 0.7%

Turnover (LKR) 66,135,892 47,116,391 44,186,938 16,875,506 16,300,078

Most Active
Company
BLUE DIAMONDS TESS AGRO[NON VOTING] TESS AGRO PCH HOLDINGS PEOPLES LEASING

Today 3.50 1.00 1.40 1.20 13.30

Pre Day 3.20 1.30 1.60 1.20 13.90

% Change 9.37% -23.08% -12.50% 0.00% -4.32%

Volume (mn) 4.71 2.41 1.01 0.73 0.62

Contribution to Total T/O 0.7% 0.1% 0.1% 0.0% 0.3%

Turnover (LKR) 16,300,078 2,409,348 1,402,800 874,684 8,183,664

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Currency Board
Local - Indicative Rate against LKR
Currency Australia China EU India Japan UK USA Dollar Yuan Euro Rupee Yen Pound Dollar Indicative Rate 23.12.2013 116.70 21.53 178.85 2.11 1.26 213.78 130.74

CSE Announcements
Dividends
Company Onally Holdings PLC 0 0 0 0
Company Description

DPS (LKR) 1.10 0.00 0.00 0.00 0.00

Proportion 0 0

XD Date 02-11-2014 0 0 00-Jan-00 00-Jan-00

XR Date

Payment Date 10-01-2014 1/0/1900 1/0/1900 00-Jan-00 00-Jan-00

Renunciation

Rights Issues / Scrip Dividend / Sub division / Capitalization

0 0 0 0 0 0 1/0/1900 1/0/1900 1/0/1900 1/0/1900 1/0/1900 1/0/1900

Source: www.cbsl.gov.lk

New Listing
Company No New Listings 0 Type of Security Code 1/0/1900 1/0/1900 Board 1/0/1900 1/0/1900 Offer Price 0.00% 0.00%

Key Corporate Diclosures

Kalpitiya Beach Resort annouced that it has held back plans of commencing the construction of the hotel for which funds were raised via the IPO of CITK and is waiting for an appropriate time since there has been a delay in promoting the destination by the Government.

Material Dealings by Related Parties of Listed Companies

Company NO MATERIAL DEALINGS Name 0 0 Relationship 0 0 Transaction 0 0 Quantity 0 0 Price (LKR) 0.00 0.00 Date 0 0

Global Markets
Index AMERICA Dow Jones Industrial Average EUROPE EURO STOXX 50 Price EUR FTSE 100 Index ASIA Nikkei 225
* Time is as at ET

Value 16,221.1 3,053.3 6,633.3 15,870.4

Change 42.1 3.9 26.8 11.2

Change % 0.26% p 0.13% p 0.41% p 0.07% p

Time* 16:31 05:30 05:30 01:28

Source: www.bloomberg.com

Commodity Markets
Commodity ENERGY Crude Oil (WTI) AGRICULTURE ICE Cotton #2 CBOT Wheat METALS COMEX Gold COMEX Copper
* Time is as at ET

Units USD/bbl. USd/lb. USd/bu. USD/t oz. USd/lb.

Price 98.92 82.02 612.25 1,193.00 330.65

Change -0.40 -1.13 -1.25 -10.70 -0.15

Change % -0.40% q -1.36% q -0.20% q -0.89% q -0.05% q

Time* 05:21 05:20 05:39 05:22 05:21

Source: www.bloomberg.com

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TOP STORIES
Local
CSE stipulates minimum public holding on Listed Entity Colombo Stock Exchange (CSE) in a statement said a Listed Entity on the Main Board shall maintain a minimum public holding of 20% of its total listed ordinary voting shares in the hands of a minimum of 750 public shareholders or a market capitalization of Rs 5 billion of its public holding in the hands of a minimum of 500 public shareholders while maintaining a minimum public holding of 10%. [Source: www.ft.lk] Long wait for new rules; likely to pose problems for select big cap firms The long-awaited new rules are likely to impact firms with high market capitalisation. For example, whilst a new rule requires Main Board firms to have 20% held by minimum of 750 shareholders, third largest with market capitalisation Nestls public float is only 9.18% but has 5,649 shareholders. Second largest stock Ceylon Tobacco is also below the 20% threshold with a public float of 15.87% but has 3,742 resident shareholders though holding a 3.7% stake. [Source: www.ft.lk] Growth in credit to private sector flat at 7.5% in October Credit to the private sector has grown at a very slow pace of 7.5% in October, marking the second month of low demand. As per Central Bank data, credit to the private sector totalled Rs. 2.49 trillion as at end October, as against Rs. 2.46 trillion in September up by 7.5%. In August the growth was 7.9%. In October 2012 credit to private sector was up 25.1% and amounted to Rs. 2.32 trillion. In absolute terms, credit extended to the private sector increased by Rs. 27.2 billion in October as opposed to Rs. 5 billion between August and September 2013. [Source: www.ft.lk] Tea export earnings up 10.7 % YoY Sri Lanka's overall tea export earnings during January to November this year increased by 10.7% year on year to Rs 180.02 billion, Forbes and Walker in a report said. Overall tea export volumes in the first 11 months recorded 290.6 million kilos. Though tea exports in November declined by 0.5 million kg to 27.2 million kg year on year, Tea export earnings in November increased by Rs. 2.2 billion to Rs. 18.8 billion. [Source: www.dailynews.lk]

Global
Economic Growth in U.S. to Quicken Next Year, Lagarde Says The International Monetary Fund is raising its outlook for the U.S. economy, as a budget deal in Washington and the Federal Reserves plan to taper its bond buying ease doubts about the future, IMF Managing Director Christine Lagarde said. We see a lot more certainty for 2014, she said in an interview broadcast today on NBCs Meet the Press. With the unemployment rate falling, the Feds action last week and the government budget agreement, all of that gives us a much stronger outlook for 2014, which brings us to raising our forecast, she said. [Source: www.bloomberg.com] Vietnam GDP Rises 5.42% in 2013; Estimate 5.3% Gain Vietnams economic growth accelerated as exports climbed, even as banks struggled to meet the governments lending target. Stocks rose. Gross domestic product rose 6.04 percent in the fourth quarter from a year earlier, quickening from a 5.54 percent gain in the three months through September, according to data released by the General Statistics Office in Hanoi today. For the full year, the economy grew 5.42 percent, faster than a 5.25 percent pace in 2012, and the median estimate of 5.3 percent in a Bloomberg survey. [Source: www.bloomberg.com]

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