Govt probe spurs shares sale

Kathmandu, December 27:

The heavy selling of shares triggered by the government’s probe into huge transactions in the secondary market, pushed the transaction amount up to Rs 365.6 million — an increase by 3.63 per cent against last week’s transaction.

However, the sale pressure has pulled the Nepal Stock Exchange (Nespe) index down by 15.31 points to 705.21 points from last week’s closing of 720.52 points. Indices of all financial institutions’ groups — the major market propellors and ‘considered’ blue chip companies — lost. The commercial bank group lost 29.10 points to plump at 665.07 points. The development bank group lost 21.28 points to slip to 1073.61 points. Hydropower companies, insurance and finance companies’ group shed 20.69 points to go to 898.13 points, 8.81 points to go to 722.53 points and 3.08 points to go to 967.96 points, respectively.

Altogether 82 companies’ scrips were traded where group-A companies contributed only 45.01 per cent against last week’s 56.08 per cent to the total trading. Nepse ended up in negative territory for three days of the four-day session this week. On Wednesday, the last day for this week as Thursday was a public holiday Nepse gained 3.36 points to close the sole secondary market index at 705.21 points.

The float index — calculated on the basis of real transactions — also lost 2.12 points to slip to 67.62 points from last week’s closing of 69.74 points. Similarly, the sensitive index — a barometer of group-A companies — plunged by 6.86 points to slide to 181.54 points from last week’s closing of 188.40 points.

This week, IME Finance (Rs 38.35 million), Nepal Bangladesh Bank (Rs 37.32 million), Nepal Development and Employment Promotion Bank (Rs 21.60 million), Annapurna Bikas Bank (Rs 19.99 million) and International Leasing and Finance (Rs 18.72 million) were tops in terms of transaction amount.

In terms of numbers of share units traded Nepal Bangladesh Bank topped with 1,10,000-unit shares while in terms of number of transactions Nepal Development and Employment Promotion Bank topped the chart with 546 transactions.