Banks major attraction for foreign portfolio investors

Posted on 10.19.06 by StockPK Team @ 1:03 pm    

The growing foreign interest in Pakistan’s developing economy, particularly in areas like banking and capital market, is well reflected in the Karachi Stock Exchange, which has been rising for the last couple of weeks.

This is primarily evident from the increased inflow of foreign portfolio investment into Special Convertible Rupee Account (SCRA) managed by the State Bank of Pakistan.

SBP figures pointed out that during the week ended on October 12, 2006, a massive inflow of US$13.5 million was recorded in the country’s stock markets.

According to the data, a total of $214.51 million was brought into the market during the current fiscal year (from July 01, 2006 to October 12, 2006).

MCB Bank GDR gets listed on London Stock Exchange

Posted on 10.19.06 by StockPK Team @ 11:03 am    

MCB Bank’s GDR was formally listed at the London Stock Exchange on Tuesday.

MCB Bank is the first company of Pakistan to get listed on one of the oldest stock exchanges of the world.

Last week, MCB successfully issued 8,622,100 Global Depository Receipts (GDRs) worth $151 million to international institutional investors.

The GDR issue attracted over $700 million from over 50 investors globally.

A press note issued by the bank on Wednesday said the formal market opening for MCB Bank’s GDRs was held at the London Stock Exchange.

Dr Maleeha Lodhi, Ambassador to the United Kingdom, Mian Mohammad Mansha, Chairman MCB Bank and its President Mohammad Aftab Manzoor, attended the ceremony.

Four in the run to set up urea plant, bidding next month

Posted on 10.18.06 by StockPK Team @ 2:43 pm    

Four parties including Engro, Fauji Fertilizer Company (FFC), International Petroleum Investment Co (IPIC) and Orascom are interested in installing a new urea plant in view of growing demand of fertilizers in local market.

Currently, Engro and FFC are the major urea producers in the country while remaining two companies are comparatively new in urea production business.

“Engro Chemical wants to install urea plant in Deharki with an annual production capacity of around one million tonnes, while FFC intends to install urea plant at Kotmachi with a production capacity of around 0.75 to 0.8 million tonnes,” an inside sources, privy to developments, told on the condition of anonymity.

Chinese team shows interest in refinery

Posted on 10.18.06 by StockPK Team @ 11:35 am    

A trade delegation from China visited PSO House on Tuesday and during discussions with the management of the company expressed interest in setting up a refinery in Pakistan.

The team headed by Yang Hansheng was accompanied by Director Refining, Ministry of Petroleum, Muhammad Azam and officials of the Chinese Consulate, said a PSO press release issued here.

Managing Director and Chief Executive Officer PSO Jalees Ahmed Siddiqi briefed the visiting delegation on working of PSO and its future plans. He said the company is using technology to its advantage by seeking to reinforce technology-driven initiatives and also working for diversification of fuel and non-fuel business.

KSE Holidays

Posted on 10.18.06 by StockPK Team @ 10:35 am    

The Karachi Stock Exchange would remain closed on Friday, October 20, 2006 on account of Jumma-tul-Wida, an official press statement said here on Tuesday. It added that the exchange would also remain closed from October 23 to October 26 on account of Eid-ul-Fitr. The exchange will, therefore, reopen either on Friday, October 27, or Monday, October 30, as the case may be.

Source: The News

Nafisa Dada: Obsessed with the Stock Exchange

Posted on 10.17.06 by StockPK Team @ 1:00 pm    

Forty-six-year-old Nafisa Dada has been playing the stocks for nineteen years now. And she has no regrets. Sitting over a computer in a room at her apartment, she manages both home and her trading, making sure one does not affect the other.

Dada trades online now, not like the old days when orders had to be phoned in. And she is one to take advantage of technology. In the same room as her computer, on which she places her buy and sell orders, is her trusty television set, which is usually tuned in to one of the numerous business channels that have proliferated in the past couple of years.

JP Morgan to re-open equity brokerage in Pakistan

Posted on 10.17.06 by StockPK Team @ 11:40 am    

JP Morgan is planning to re-open its equity business in Pakistan, the first foreign brokerage to return since they abandoned the South Asian nation in the early 2000s, sources familiar with the development said.

The No.3 US bank shut its Pakistan equity broking arm five years ago as part of a consolidation plan. “JPMorgan will be opening an equity platform in Pakistan along with equity and economic research,” said a market source with knowledge of the development.

MCB Bank GDR raises $150 million

Posted on 10.12.06 by StockPK Team @ 11:00 am    

MCB Bank officially announced on Wednesday that it has successfully raised $150 million (Rs9 billion) through the issuance of 8.622 million shares in the form of Global Depository Receipts (GDR), to be listed on London Stock Exchange.

Each GDR represents four underlying equity shares, priced at $17.40 (Rs264 per equity share).

This landmark transaction represents the first GDR offering for a Pakistani issuer in over 10 years. Following the offering, MCB will be the first Pakistani company to be listed on the LSE for trading on the Professional Securities Market.

The GDR issue attracted demand in excess of $700 million from over 50 investors globally, a press statement said.

NBP plans GDR issue

Posted on 10.12.06 by StockPK Team @ 9:51 am    

President National Bank of Pakistan Syed Ali Raza has said the bank has planned to issue global depository receipts (GDR).

Talking to journalists at an Iftar party on Tuesday, he said the amount and timing of the GDR would be decided by the government, keeping in view the market conditions.

However, he categorically said the amount raised through the GDR would not be used to meet capital requirements, but would be spent on expanding the bank’s activities.

Replying to questions, he said the bank had estimated annual loan requirement under the President’s Rozgar Scheme at Rs7-10 billion and the “bank is fully geared up to meet this challenge.”

Modarabas seek expansion under new NBFC rules

Posted on 10.11.06 by StockPK Team @ 11:11 am    

Modaraba companies want to expand their businesses by following recently promulgated non-banking finance companies (NBFCs) rules by the Securities and Exchange Commission of Pakistan.

Sources of Modaraba Association of Pakistan (MAP) said on Tuesday that the first meeting of newly elected Executive Committee of the association has decided to approach the SECP for extending the scope of NBFC rules to modarabas so that they could expand their business activities.

Sources said the newly elected chairman of the Association, Basheer A Chowdry reportedly argued that “some items (rules) of the recently revised NBFC rules notified by the SECP can also be extended to the modaraba companies to get the same benefits for the multipurpose modarabas for enhancing their activities.”