Dialog Finance to raise Rs. 560 m via Rights

Monday, 5 July 2021 01:59 - - {{hitsCtrl.values.hits}}

Share price spikes by 29% or Rs. 19.30 to Rs. 81.20 on speculation

Dialog Finance PLC is set to raise Rs. 560 million via a Rights Issue to increase its core capital.

The Board of Directors has resolved to issue 8.6 million new shares on the basis of eight new shares for every one held at Rs. 65 each. The current stated capital of the Company is 2.37 billion.

Central Bank has approved the Rights Issue which is now subject to the Colombo Stock Exchange approving it in principle and shareholder consent at a general meeting.

Dialog Finance’s net assets per share as at 31 March 2021 was Rs. 18.63. The March 2021 quarter saw the share trade at a high of Rs. 60.20 and a low of Rs. 50 before closing at Rs. 60. On Friday it closed at Rs. 81.20, down by 14% or Rs. 13.

Dialog Axiata Plc owns 99% stake in the Company and the public holding is 0.95% owned by 651 shareholders.

The stock however finished the week as the fourth biggest gainer percentage wise with price up 29% or Rs. 18.30 with 0.5 million shares changing hands via 2000 trades. The spike prompted the Colombo Stock Exchange to impose a trading halt and seek clarification. The Company said it was unable to provide a reason for the unusual trading activity apart from the

Rights Issue.

Discover Kapruka, the leading online shopping platform in Sri Lanka, where you can conveniently send Gifts and Flowers to your loved ones for any event including Valentine ’s Day. Explore a wide range of popular Shopping Categories on Kapruka, including Toys, Groceries, Electronics, Birthday Cakes, Fruits, Chocolates, Flower Bouquets, Clothing, Watches, Lingerie, Gift Sets and Jewellery. Also if you’re interested in selling with Kapruka, Partner Central by Kapruka is the best solution to start with. Moreover, through Kapruka Global Shop, you can also enjoy the convenience of purchasing products from renowned platforms like Amazon and eBay and have them delivered to Sri Lanka.