ATCHUTHAN SRIRANGAN, ASSISTANT MANAGER – RESEARCH AT FIRST CAPITAL HOLDINGS PLC, SPEAKS TO REUTERS
September 11, 2018
COLOMBO, Sept 10 (Reuters) – Sri Lankan shares fell to one-week closing low on Monday as foreign investors sold blue chips such as conglomerate John Keells Holdings Plc.
The Colombo stock index ended 0.35 percent weaker at 6,096.54, its lowest close since Sept. 3. It rose 0.6 percent last week in its third straight weekly gain.
Turnover was 615.9 million rupees ($3.79 million), less than this year’s daily average of 795.6 million rupees.
“Today also, foreign selling was there and it impacted the market. Foreigners are exiting with the dollar strengthening,” said Atchuthan Srirangan, assistant manager – research, First Capital Holdings Plc.
“Local investors are worried over continued foreign selling on the back of dollar strengthening globally and they are on the sidelines.”
Analysts said investors also waited for cues from the national budget which the government is set to unveil in November.
Foreign investors sold a net 112.1 million rupees of shares on Monday, extending the year-to-date net foreign outflow to 4.4 billion rupees worth of shares.
Shares of Distillers Company of Sri Lanka Plc fell 3.1 percent, while conglomerate John Keells Holdings ended 0.7 percent down and AIA Insurance Lanka Plc lost 4.4 percent. ($1 = 162.3000 Sri Lankan rupees) (Reporting by Ranga Sirilal and Shihar Aneez; Editing by Subhranshu Sahu)
First Capital is an investment bank offering independent advice and transaction execution relating to capital raising and other strategic needs including mergers and acquisitions for investment in Sri Lanka. The Company’s industry leading transactions are reflective of the ingenuity in enabling the most opportune financing processes for our clients. First Capital’s services for investment in Sri Lanka include a total service for public offers of corporate debt, acting in the capacity of managers/ financial advisors and placement agents, in addition to due diligence, pre-offer preparation, offer management, distribution strategy and after-market advisory services, initial public offerings, secondary offerings such as rights issues, corporate actions including mandatory and voluntary offers, private placements and at-market placements of listed securities.