CAPITAL MARKETS

 

1- FOREX KERB WATCH

2- COT WEEKLY REVIEW

3- FINEX WEEK

4. STOCK WATCH
5. STOCK MARKET AT A GLANCE


STOCK WATCH


By SHABBIR H. KAZMI
Updated Feb 12, 2005

 

 

During the week, the bullish trend continued. On the last trading date the market closed around 7239 level with a gain of more than 252 points. Market capitalization at the close of the week exceeded two trillion rupees, yet another landmark achieved in the recent past. Robust activity was witnessed in oil & gas, cement and banking sectors. OGDC remained in focus due to inflow of news regarding discovery of new fields. PTCL and KESC also attracted the attention at the back of privatization news. The market is expected to remain bullish in the following week at the back of forthcoming announcements by some of the volume leaders, particularly from the banking sector.

The Initial Public Offering (IPO) of Attock Petroleum has been oversubscribed by 18 times. According to the information made public, 370,721 applications have been received. Against the public offering worth Rs577.5 million, the applications have been received to the tune of Rs10.767 billion. The company is an associate undertaking of Pharon Commercial Investment Group of Saudi Arabia.

The market capitalization of Karachi Stock Exchange is expected to go up by 26 billion rupees with the listing of Kot Addu Power Company. This was stated by Dr. Abdul Hafeez Shaikh, Minister for Privatization and Investment at a Road Show held in Karachi for the investors. The PC is offering about 176 million shares (20%) of KAPCO, including the green shoe option, to general public. The reference price has been fixed at Rs 30/share and subscription will remain open from 21st to 24th February. To facilitate the small shareholders 25 banks have been appointed bankers to the issue. The Minister also reiterated that new shareholders of KAPCO (through IPO) would be entitled to any interim dividend payout announced by the company.

The Gurguri field, operated by MOL, has commenced gas production from 30th January. Currently, 26 mmcfd of gas is being produced from the field and it is expected to touch 35 to 50 mmcfd in the near future. Commercial production is expected to commence some times in 2006. The three exploration and production companies, Pakistan Oilfield, Oil and Gas Development Company and Pakistan Petroleum hold major stake in this discovery. While some benefit from this field will appear in the earnings of the stakeholders in 2005, the full impact will be visible in 2006.

OGDC

The Oil and Gas Development Company has discovered gas and condensate near Hyderabad. According to the information provided by the OGDC to the Karachi Stock Exchange, the company has discovered gas and condensate at Passakhi field located 30 kilometers north-east of Hyderabad and 7 kilometers south-east of Tando Adam. The well was drilled to a depth of 4,160 meters. During the initial testing, the well has flowed 150 barrels of condensate and 15 million cubic feet of gas per day. OGDC has also got two new exploration licences in Punjab. In percentage terms, OGDC produces 47% oil and 25% of gas produced in the country. It holds a 100% ownership in eight exploration licences and is a partner in another three exploration licences, operated by other exploration and production companies.

KARACHI ELECTRIC SUPPLY CORPORATION

 

 

The Cabinet Committee on Privatization has approved the highest bid for sale of 73 percent shares of the Karachi Electric Supply Corporation. The consortium led by Kanooz Al-Watan of Saudi Arabia had submitted the highest bid of Rs 1.64 per share. The government had fixed Rs 1.30 per share as reference price. The KESC has been running into huge losses for about a decade and the government kept on injecting funds to keep it operational. The government has injected Rs 108 billion into the KESC during the last three years.

ASKARI COMMERCIAL BANK

Askari Commercial Bank has also announced its financial results for the year ended December 31, 2004. The bank has posted an after tax profit of 1.923 billion rupees as compared to 1.103 billion for the same period last year This allowed the bank to announce 20% final cash dividend. The Board of Directors of Askari Commercial Bank has also recommended issue of 20% Bonus Shares. The earning per share comes to 15.31 rupees compared to 9.66 rupees for the previous year.

ENGRO CHEMICAL PAKISTAN

Company

High

Low

Closing

Week's Turnover

Oil & Gas Dev.

88.50

87.55

88.50

524,836,700

P.T.C.L.A

65.55

63.85

64.25

518,827,000

H ub PowerXD

34.65

33.30

34.65

257,998,500

D.G.K.Cement

64.00

58.95

64.00

186,654,900

Lucky Cement

46.05

42.70

46.05

143,719,500

National Bank

109.55

104.65

109.55

136,111,500

M.C.B.

75.65

73.30

75.65

117,273,700

Askari Bank

111.30

109.00

110.65

28,056,700

Engro Chem.

129.50

125.25

125.80

8,951,900

Fauji Fert.

159.00

156.50

159.00

4,489,500