Connect with us

Business

NDB Bank to raise Rs. 8 billion via rights issue

Published

on

By Hiran H.Senewiratne 

NDB Bank announced plans to raise Rs. 8 billion via a rights issue to enhance its capital base and finance business growth, stock market analysts said.

The bank has resolved to issue 106.78 million shares on the basis of 28 new shares for 61 held at Rs. 75 each, CSE sources said

NDB share price closed unchanged yesterday at Rs. 83.40. Its net asset value per share as at June 30 was Rs. 184.25, up from Rs. 178 as at December 31, 2019. The current stated capital is Rs. 8.79 billion represented by 232.63 million shares. 

NDB Bank has 9,922 public shareholders. Among the biggest shareholders of NDB Bank are EPF (10percent ), BOC (8 percent ), Sri Lanka Insurance (11percent ), Dr. Sena Yaddehige (4 percent ), Softlogic Life Insurance (4 percent ), and ETF (4 percent ). The proceeds of the NDB rights issue are to be utilised to further strengthen the equity base of the bank and thereby improve capital adequacy ratios in line with BASEL III guidelines of the Central Bank and to part finance the growth in the loan portfolio of the bank.

However, CSE activities were positive yesterday morning but subsequently became negative with the government announcement on the imposition of a quarantine curfew for the Gampaha district coupled with the disclosure of certain negative provisions in the 20th amendment to the Constitution.

Amid those developments both indices turned negative. The All Share Price Index went down by 249.56 points down and S and P SL20 declined by 95.46 points. The turnover stood at Rs. 3.25 billion with three crossings. Those crossings were reported in Cargills where  778,000 shares crossed to the tune of Rs. 147.8 million; a share price trading at Rs. 190, Keells Hotel 3.1 million shares crossed for Rs. 24.7 million, its shares trading at Rs. 8 and Melstacorp 600,000 shares crossed for Rs. 21 million at a per share value of Rs. 35.

In the retail market top five companies that contributed to the turnover were, Expolanka Rs. 488 million (27.4 million shares traded), JKH Rs. 267.8 million (two million shares traded), Tokyo Cement (Non Voting) Rs. 183 million (3.5 million shares traded), Tokyo Cement (Voting) Rs. 153.2 million (2.5 million shares traded) and HNB (Voting) Rs. 93.4 million (796.000 shares traded). During the day 196.7 million share volumes changed hands in 36983 transactions. 

Corporate earnings of listed companies plunged by 52 percent  year-on-year (YOY) to Rs. 33.5 billion in 2020 March quarter, First Capital Research revealed yesterday. The analysis was based on reported earnings of 266 listed companies. 

It said the plunge was primarily owing to sluggish performance in Diversified Financials (-87 percent  YOY), Capital Goods (-63 percent YOY), Food, Beverage and Tobacco (-72 percent  YOY), Telecommunication (-52 percent  YOY) and Consumer Services (-101 percent  YOY). 

However, an upbeat quarterly performance was witnessed in the following sectors, Banks (+32 percent YOY) followed by Food, Staples and Retailing (+96 percent  YOY) and Materials (+8 percent  YOY). 



Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

SriLankan Airlines Resumes Flights to Riyadh and Dubai

Published

on

09 March 2026; Colombo – SriLankan Airlines would like to inform passengers that it is resuming daily services to Riyadh tonight and Dubai tomorrow, while continuing to closely monitor the situation in the Middle East and prioritising the safety and wellbeing of its passengers and crew.

The following flights are scheduled to operate:

For more information please contact: 1979 (within Sri Lanka); +94 11 777 1979 (international); WhatsApp +94 74 444 1979 (chat only); your travel agent; visit www.srilankan.com; or follow us on social media.

Continue Reading

Business

Oil prices jump above $100 for first time in four years

Published

on

By

Oil facilities in Tehran were hit by airstrikes at the weekend

Global oil prices have jumped above $100 (£75.11) a barrel for the first time since 2022 as the escalating US-Israeli war with Iran has fuelled fears of prolonged disruption to shipments through the Strait of Hormuz.

Iran on Sunday named Mojtaba Khamenei to succeed his father Ali Khamenei as Supreme Leader, signalling that a week into the conflict hardliners remain in charge of the country.

The US and Israel launched fresh waves of airstrikes across Iran over the weekend, hitting multiple targets including oil depots.

Major disruption to energy supplies from the region threatens to push up prices for consumers and businesses around the world.

Early on Monday in Asia, Brent crude was around 15.5% higher at $107.16, while Nymex light sweet was up by more than 17% at $106.77.

Stock markets in the Asia-Pacific region fell sharply in early trading on Monday, with Japan’s Nikkei 225 index down by more than 5% and the ASX 200 in Australia more than 3.5% lower.

Many in the markets predicted that oil would hit the $100 a barrel mark this week.

In the event it took about a minute to jump 10%, and then another 15 minutes to rise a further 10% in early Asian trading.

Last week the markets had been relatively relaxed about the seeming nightmare scenario for millions of barrels of crude and liquefied natural gas trapped in the Gulf, unable or unwilling to transit the Strait of Hormuz.

But the escalations over the weekend, alongside scenes of destruction of energy infrastructure both in Iran and across the Gulf, saw the markets take rapid fright.

The question now is where does this go? Some analysts argue that if the shutdown in the strait lasts until the end of March, we could see record oil prices above $150 a barrel.

The existing rise is likely to further increase petrol prices, and those of important derivative products such as jet fuel and vital precursors for fertilisers.

The physical supplies from the Gulf are mainly consumed in Asia.

Already however there are signs that Asian consumers are bidding up prices for US gas, with some tankers originally heading for Europe turning around in the mid-Atlantic.

US President Donald Trump responded to the jump in prices by saying that short term rises were a “small price to pay” for removing Iran’s nuclear threat.

His energy secretary told US broadcasters on Sunday that Israel, not the US, was targeting Iran’s energy infrastructure, amid some concern about rising domestic pump prices caused by the war.

(BBC)

Continue Reading

Business

CMTA warns buyers of long-term costs hidden in reconditioned vehicle imports

Published

on

The Ceylon Motor Traders’ Association (CMTA) has issued a stark cautionary note to prospective vehicle buyers, warning that the initial price advantage of reconditioned imports often masks significant long-term financial risks.

By highlighting a “structural imbalance” in the current duty valuation system – which allows near-identical vehicles to be imported under a 15% automatic depreciation bracket – the CMTA argues that the lack of manufacturer-backed warranties and tropicalised specifications in the grey market could lead to a “reconditioned trap” for unsuspecting consumers. For the savvy buyer, the association suggests that the true cost of ownership is increasingly tilting the scales in favour of brand-new vehicles from authorised agents.

If two identical 2026 models are sitting on different lots, and one is significantly cheaper because it was technically “registered and de-registered” abroad, the frugal buyer’s instinct is to take the discount. But the CMTA argues that this 15% depreciation benefit – intended for genuine used cars – is being leveraged as a loophole for zero-mileage vehicles.

For the savvy buyer, this raises a fundamental question of transparency. If the entry price of a vehicle is built on a “procedural” technicality rather than actual wear and tear, where else is the transparency lacking? Does the lower price reflect a genuine saving passed to the consumer, or does it mask a lack of manufacturer-backed after-sales support?

When a buyer chooses an authorised agent, they are essentially purchasing an insurance policy against the unknown. With a five-year manufacturer warranty, the financial burden of a faulty transmission or a software glitch stays with the global giant that built the car, not the local owner. In an era where vehicles are increasingly “computers on wheels,” the technical specialised tools and genuine parts held by authorised agents are no longer a luxury – they are a necessity for longevity.

The CMTA’s perspective also invites the buyer to look at the “Big Picture.” Every time a vehicle is imported under an under-declared value or an artificial depreciation bracket, it isn’t just a loss for the Treasury; it is a blow to the country’s foreign exchange discipline.

“A savvy buyer today is more informed than ever. They realize that a “cheap” import with no service history and no tropicalised specifications may eventually become a “minus” on the balance sheet. Frequent repairs and lower resale value can quickly evaporate the initial few lakhs saved at the point of purchase. Ultimately, the choice between brand new and used is a choice between certainty and speculation,” the Association says.

The CMTA is advocating for a level playing field where duty is based on true transaction value. Until that day comes, the burden of due diligence rests on the consumer. To be a “savvy buyer” in 2026 means looking past the showroom shine and asking: Who stands behind this car if something goes wrong tomorrow?

In conclusion, CMTA says,” For those seeking long-term peace of mind, the “brand new” path – supported by a transparent duty structure and a solid warranty – remains the gold standard for steering Sri Lanka’s complex automotive landscape.”

Before signing the papers on a reconditioned vehicle, the CMTA suggests buyers evaluate the four “minus” factors against a “brand new” purchase:

By Sanath Nanayakkare

Continue Reading

Trending