Royal Ceramics stake in LB Finance tops 5%

Royal Ceramics Plc last week increased its stake in LB Finance Plc to slightly over 5% following the purchase of 2% stake for Rs. 262 million.

The purchase was made on 23 March when 1.386 million shares were done at an average price of Rs. 189 each, up Rs. 19.50 from the previous close. That same day LB Finance touched an intra-day high of Rs. 198. The quantity had been collected from the market.

LB Finance figured among top five gainers percentagewise last week with share price up Rs. 42.50 or 31% to close at Rs. 178.60. Around 5.7% stake amounting to 3.97 million of LB Finance traded for Rs. 714 million. On Tuesday it gained by Rs. 33.60 on a volume of 1.4 million shares whilst Royal Ceramics bought the stake on Wednesday.

Following the increase Dhammika Perera and connected parties now control over 76% stake in LB Finance. Vallibel One owns 51% whilst its owner Dhammika has a further 20.3% stake under his personal name.

In mid-March 34,628,571 ordinary voting shares of LB Finance were listed pursuant to a capitalisation of reserves in the proportion of 1:1.

In the first nine months of 2010/11 financial year LB Finance saw its income rise by 29% to Rs. 3.86 billion whilst pre-tax profit rose by 132% to Rs. 1.12 billion. After tax profit rose by 119% to Rs. 629 million.