Sri Lankan shares fall to one-week low as blue chips decline

Reuters: Sri Lankan stocks fell for a third straight session on Monday to a one-week closing low as investors sold shares in market heavyweights ahead of the central bank’s policy rate decision.

Sri Lanka’s central bank is expected to keep its key interest rates steady on Tuesday, a Reuters poll showed, to support a stuttering economy even as inflation accelerates amid strong credit growth.

The Colombo stock index ended 0.24 percent weaker at 6,412.07, its lowest close since Sept. 18.

Shares of Nestle Lanka Plc fell 0.9 percent, while conglomerate John Keells Holdings Plc ended 0.6 percent weaker, and Browns Investments Plc dropped 3.1 percent.

“Most of the investors are on the sidelines awaiting the policy rates decision,” said Hussain Gani, deputy CEO of Softlogic Stockbrokers.

Turnover stood at 793.9 million rupees ($5.19 million), compared with this year’s daily average of about 919 million rupees.

Foreign investors who bought a net 17.7 billion rupees worth of equities so far this year turned net sellers for the first time in six sessions. They sold 59.2 million rupees worth of shares on Monday. 

($1 = 152.9500 Sri Lankan rupees) 

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Amrutha Gayathri)

Aitken Spence sells Hill Top Kandy for Rs 740 mn

Aitken Spence has notified the Stock Market that they were divesting Hotel Hilltop Kandy (MPS Hotels) for Rs. 740 million.

It was speculated that an entrepreneur with an active political back ground and owns hotels has purchased this property. The Hotel Hill Top offers two star plus accommodation in Kandy and has 73 standard rooms and one deluxe room.
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Brand new car registration down in August

Brand new motor car registration in August has declined by 4% against July in August month on month.

According to J. B. Security’s monthly report medium car segment share improved from 2.9% to 3.4%. Financing share for large cars dropped from 55% to 30%. Financing share for medium cars dropped from 57% to 45% and financing share for small cars decreased from 58% to 55%. Overall financing share for brand new motor cars decreased from 58.4% to 53.6%.

Meanwhile Pre-owned motor cars increased by 5.6% MoM and 78% YoY. Toyota and Suziki observed growth in pre-owned registrations. Small car segment share increased from 46% to 50%. Overall premium cars have improved from 62 in July to 80 in August. Brand new premium cars gained momentum with BMW leading the way with growth observed in the 5-series.

Overall Brand-new SUV’s increased by 40% MoM and 29% YoY, while Pre-owned SUV’s increased by 9% MoM and 51% YoY. Brand new Hybrids increased by 40% MoM, pre-owned hybrids increased by 4% MoM

Vans declined by 15% MoM and 12% YoY. Mini vans dropped from 628 to 616 registrations. Overall financing share marginally decreased from 73.2% to 72.8%. Meanwhile the despite several efforts to discourage the use the 3-wheelers this segment observed an increase by 17% MoM.

The 2-wheelers registered 29,579 in August, a 3.2% drop MoM and 1.2%YoY increase. 130cc segment share dropped from 80.8% to 79.9%. Overall financing share improved marginally to 72.1% from 71.2%. Pickups saw an improved in growth of 12% MoM.

Brand new mini trucks witnessed growth of 4 % MoM and a drop of 85% YoY. Overall financing share declined from 88% to 87%. Light trucks registrations declined marginally from last month. Brand new light trucks observed a 66% YoY decline. Heavy trucks declined by 6% MoM and 0.7% YoY. Lanka Ashok Leyland’s market share dropped from 41% to 35%. Overall financing share increased from 81% to 93%.

Buses grew by 32% MoM and declined by 5% YoY. Lanka Ashok Leyland witnessed a growth of 24%. Overall financing share increased from 7% to 32%.

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