ghll shares wala down trend ekak thiyeda

ddrperera · 1 ghll shares wala down trend ekak thiyeda Thu Oct 06, 2011 7:53 pm

ddrperera

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my broker said it is not effect to shares.

Tiger · 2 Re: ghll shares wala down trend ekak thiyeda Thu Oct 06, 2011 8:42 pm

Tiger

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GHLL share price should go down because new shares are issued at a discount to the face value of debt. If I were you I would have disposed already.

But check from other sources and make an informed decision.

deep · 3 Re: ghll shares wala down trend ekak thiyeda Fri Oct 07, 2011 11:50 am

deep

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Price may not go down unless Galadari Brothers sell to the market....

RIO · 4 Re: ghll shares wala down trend ekak thiyeda Fri Oct 07, 2011 12:07 pm

RIO

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deep wrote:Price may not go down unless Galadari Brothers sell to the market....

what is the theory you calculate the share prices...?

when the issued capital is increased, why not the Mkt value drop in par with it..? such a thing can happen only if the present value is much less than than book value only...but here in CSE even the book value below the market price, still the share price will drop on new capital issue...best and recent example is ALLI...even it worth more than the last traded mkt value (1190/-) ALLI dropped further to 850 upon issuing of new shares in a way of Cap Reserve...!

deep · 5 Re: ghll shares wala down trend ekak thiyeda Fri Oct 07, 2011 3:59 pm

deep

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RIO wrote:

deep wrote:Price may not go down unless Galadari Brothers sell to the market....

what is the theory you calculate the share prices...?

when the issued capital is increased, why not the Mkt value drop in par with it..? such a thing can happen only if the present value is much less than than book value only...but here in CSE even the book value below the market price, still the share price will drop on new capital issue...best and recent example is ALLI...even it worth more than the last traded mkt value (1190/-) ALLI dropped further to 850 upon issuing of new shares in a way of Cap Reserve...!

This is quite different from Subdivision. There are only 2 parties issued GHL shares... major party is Galadari brothers. other Party is negligible since they are issued only 1m worth shares. But Galadari Brothers are issued 5Bn worth shares. If they dont sell it to market there can't be created any additional supply for that share. So market supply is not increase and therefore price should be stable if they wont sell it to market...

sajeethk · 6 Re: ghll shares wala down trend ekak thiyeda Fri Oct 07, 2011 4:21 pm

sajeethk

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How ever i think it will affect to its ESP due to increase of new shares.

RIO · 7 Re: ghll shares wala down trend ekak thiyeda Fri Oct 07, 2011 8:35 pm

RIO

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deep wrote:
This is quite different from Subdivision. There are only 2 parties issued GHL shares... major party is Galadari brothers. other Party is negligible since they are issued only 1m worth shares. But Galadari Brothers are issued 5Bn worth shares. If they dont sell it to market there can't be created any additional supply for that share. So market supply is not increase and therefore price should be stable if they wont sell it to market...

Good explanation...it speak the truth of present CSE condition....everything is to be determined on Demand & supply... nothing to do with financials & growth/failures of the companies...LOL

Read this
http://www.dailynews.lk/2011/06/16/bus03.asp

http://forum.srilankaequity.com/t5115-dubai-to-buy-into-galadari

Understand the situation of Galadari Brothers LLC... then you ll get an idea about the next most possible scenario....!