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Regulators watching LOLC Development Finance PLC’s meteoric rise to fame in no time

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By Hiran H. Senewiratne and Sanath Nanayakkare

The small-scale LOLC Development Finance PLC (NIFL) gaining a rapid and phenomenal increase in its share-price within just under a month is reverberating in Sri Lanka’s capital market sector today.

This is more so as there has been no price-sensitive information disclosed to the CSE by NIFL.

Shares of LOLC Development Finance closed at 618.75 rupees a share on June 29, i.e. 123.75 rupees or 25.00 percent up from the previous day.

In comparison to its end-May price of Rs. 73, closing at 618.75 rupees a share on Tuesday June 29 reflected a dramatic and controversial total gain of 747% in a little under a month.

On June 28, LOLC Development Finance shares rose to 495 rupees, up 23 percent, valuing the small finance company at 117 billion rupees making it the fourth-largest company by market capitalization.

It now has a market cap bigger than Commercial Bank, the country’s largest private commercial bank.

It is also valued more than Sampath Bank and Hatton National Bank.

NIFL is now only behind parent company LOLC, JKH and CTC.

When The Island contacted Ajith Nivard Cabraal, the State Minister of Finance, Capital Markets and State Enterprise Reforms about this development, he asked The Island to enquire it from the SEC.

In response, Tushara Jayaratne, Director SEC- External Relations and Capital Market Education said the SEC has also observed this undue pattern of the share price movement in question and has called for information from CSE. |

“The SEC too is evaluating the manner in which the transactions have taken place and we are analysing the pattern and behaviour of the investors. If we find any malpractices, we will take stern action against those whore involved in it,” Jayaratne said.

CSE Chairman Dumith Fernando said that CSE has closely monitored the situation and would take all appropriate action within the current regulatory framework.

Pressed for more information, the CSE chairman said,”As a practice, we do not comment on ongoing market surveillance related matters, but all appropriate action would be taken,”

Former Minister Eran Wickramaratne said that their should be some rationale for investors to buy shares in a small company like that.

He said that if such a thing is happening it should be investigated by the relevant authorities. Maybe outside investors are getting inside information about the parent company and are buying shares of NIFL. There must be some reason for investors at the stock market to purchase shares in this manner,” he said.

Head of Sales in Softlogic stockbrokers Eardly Kern said that NIFL’s basic earnings for the share year ended 31 March 2021 reflected 65 percent, which was also a very big amount in the stock market and its net assets value per share is Rs. 11.83. The company’s free float witnessed above shares of top 20 companies, he said.

The company has only 34,100 shares in public which is 0.01 percent out of the total issued shares and the balance 99.89 percent are with the owners and due to this inequality in the distribution of its shares, it maybe trading at an extraordinary price, Kern said.

Meanwhile Chairman of Sri Lanka Insurance Chairman Jagath Wellawatta said

Sri Lanka Insurance Corporation (SLIC) bought 2.5 million LOLC shares (LOLC parent company) for Rs. 1 billion on Tuesday.

“It was a business decision taken by our investment committee which reviews and makes such decisions on a periodical basis. When we see the opportunity, we will sell them at a higher price and make a profit in the interest of Sri Lanka Insurance Corporation,” he said.



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The Ceylon Chamber’s Commercial Document Registration Division expands export support

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The Commercial Documents Registration Division (CDRD) of The Ceylon Chamber of Commerce has expanded its export support services with the introduction of the Free Sale Letter for Pharmaceuticals, providing Sri Lankan pharmaceutical manufacturers and exporters with an additional document certification service to support their export processes and compliance requirements in international markets.

The new service expands CDRD’s portfolio of trade documentation solutions, which includes Certificates of Origin and the certification of key commercial documents required by overseas buyers, customs authorities, and regulatory bodies. These services assist exporters across sectors by helping ensure their documentation meets applicable requirements for international trade.

Established in 1925 as one of the authorised institutions to issue Certificates of Origin in Sri Lanka, CDRD has supported the country’s international trade for nearly a century. Today, the Division provides certification and verification services to exporters, manufacturers, freight forwarders, logistics providers, and other trade stakeholders, supporting businesses in meeting documentation requirements for global markets.

In addition to pharmaceutical certification, CDRD facilitates the certification of Commercial Invoices, Packing Lists, Price Lists, Health Certificates, Phytosanitary Certificates, Certificates of Analysis, Bills of Lading, Survey Reports, Beneficiary Certificates, and other export-related documents. The Division also issues Free Sale Letters and Surveyor Appointment Letters, while supporting exporters through the Ministry of Foreign Affairs’ Electronic Document Attestation System (e-DAS), enabling secure and efficient document authentication.

Through established processes, digital solutions, and its e-service platform, CDRD continues to enhance the efficiency and accessibility of trade documentation services. Available 24/7 and 365 days of the year, the platform enables exporters to submit and manage documentation requirements conveniently while ensuring that certified documents meet internationally accepted requirements. By providing reliable documentation support and adapting its services to changing trade needs, the Division assists Sri Lankan businesses in managing export requirements and accessing international markets.

For more information on obtaining commercial document registration services, contact Achala via achala@chamber.lk / 0115588886

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Siyapatha Finance unveils newest branch in Bandarawela

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Siyapatha Finance PLC recently expanded its island-wide footprint with the successful inauguration of its 64th branch in Bandarawela. Strategically located in scenic hill town in the Badulla District, the latest branch offers convenient and wider access to tailored, customer-centric financial solutions.

The branch was ceremoniously declared open by Siyapatha Finance PLC Chief Executive Officer (CEO) Mathisha Hewavitharana, joined by Chief Operating Officer (COO)Rajeev De Silva, Ms.D.M. Dewmi Tharindi, a student of Bandarawela Dharmapala Vidyalaya who won the Under-18 Girls’ 3,000m event at the Junior National Athletics Championship, the Senior Management and staff members as well as Traffic OIC Kandasami, Trade Association Secretary Sunanda Rathnayaka, representatives of the government and private banks and insurance companies and well-wishers.

Sharing his thoughts, Siyapatha Finance PLC CEO Mathisha Hewavitharana remarked: “We are deeply honoured to be of service to the people of Bandarawela. Opening this branch is a pivotal step in our 2026 expansion strategy and a reflection of our commitment to strengthen our presence in Sri Lanka. It is a region that showcases potential for greater economic development primarily through the country’s traditional agricultural practices. We look forward to reaching as many different communities as possible in the coming years.”

The Bandarawela branch offers a comprehensive product portfolio including leasing, fixed deposits, gold financing, business loans, personal loans, fast draft, and factoring to Smart Pay, the Company’s bill payment facility. With a thorough understanding about the current socio-economic dynamics of the region, the well-trained team at the newest branch is dedicated to providing flexible financial solutions to aspiring individuals as well as small and medium-scale enterprises (SMEs).

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Dialog recognised as Sri Lanka’s Most Loved Service and Telecommunications Brand for third consecutive year

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Dialog Axiata PLC, Sri Lanka’s #1 connectivity provider, has once again been recognised as Sri Lanka’s Most Loved Brand in the Service and Telecommunications sectors, while also ranking among the top Corporate Brands in the LMD Brands Annual. Marking its third consecutive year at the top of both categories, the recognition reflects the company’s commitment to enriching Sri Lankan lives and enterprises through technology, while creating value for customers, communities and the nation.

The accolades were awarded through the LMD Brands Annual survey, conducted independently by PepperCube Consultants on behalf of Media Services. Based on responses from 400 readers across Sri Lanka, representing a broad demographic and geographic mix, the survey identified the brands that resonated most strongly with consumers in terms of trust, loyalty and brand affinity.

Lasantha Theverapperuma, Group Chief Marketing Officer of Dialog Axiata PLC said, “Being recognised as Sri Lanka’s Most Loved Brand across both the Service and Telecommunications sectors is a meaningful endorsement of the trust and confidence that Sri Lankans continue to place in Dialog. This recognition reflects our commitment to understanding and serving the evolving needs of our customers while expanding access to digital connectivity, services and opportunities. As we continue to innovate and grow, we remain focused on creating value for communities and supporting Sri Lanka’s digital and socioeconomic progress.”

The recognition also reflects Dialog’s continued focus on innovation, customer-centricity and investments that support Sri Lanka’s digital future, including expanded 5G connectivity, AI-powered digital experiences and broader access to digital services.

Beyond connectivity, Dialog continues to support communities, livelihoods and the environment through initiatives such as Govi Mithuru, which provides AI-driven agricultural advisory services to over one million farmers, and Shishyadhara, which has enabled subsidy distribution to more than 450,000 underprivileged students. The company also continues to advance its Net Zero 2050 ambition through energy optimisation, renewable energy adoption and the expansion of solar-powered network infrastructure.

Further underscoring the brand’s standing among Sri Lankan consumers, Dialog was also recognised as the ‘Service Brand of the Year’ for the fifth time and the ‘Telecommunication Brand of the Year’ for the 15th consecutive year at the SLIM-KANTAR People’s Awards 2026.

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