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Monday, November 1, 2010

Bizarre share price increase

Yesterday, the shares of Pharma Aids (a pharmaceutical company) jumped up by Tk.11,616 to Tk.18,580 (reduced from Tk.25,000 in the morning), an increase of 164% in one single day, after its 500% stock dividend declaration by the board of directors on October 28 (news on Pharma Aids)! This was the single most one day increase in the price of a share in the history of Dhaka Stock Exchange.

Another company, Chittagong Vegetable, which remained non-operational during the last couple of years, has announced 20% stock dividend. Right after the announcement (on October 28), yesterday  it shoot up by Tk.590 per share to Tk.2,499, an increase of 34% in one single day! On March 1, 2010, the price of Chittagong Vegetable was Tk.305 per share only - means within just 8 months, the price of this share increased by 719.3%.

Anyway, who bought these stocks?

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