Amãna Bank goes for IPO and listing on the Bourse

Zaiban wrote:

a higher cost of financing... covers situations of non payment.... or destruction of assets... further businesses and customers payment ability is scrutinized more closely...

Islamic financing is a tad more expensive in order to maintain profitability

further.... takaful or islamic insurance is also there in worst case scenarios...

finally i dont think MR would recommend islamic finance in last years budget speech.... if there were serious sustainability issues...

It would do but many closely managed companies even have gone blank in years due to acts of vicious ppl.. Can Islamic insurance cover all in case of bankruptcy? In that case even conventional banking systems would have many avenues in safeguarding their wealth, but why fail?

MR must be capitalizing on a need by Muslim community.. After all, Islamic finance also was in demand after many other banks touched it before Amana. Amana is just a 100% pure fit. Looking in to the aspects of what other communities need is also a necessity in a country to live in peace n harmony. In addition, the ruler should have such values too.

still doesn't explain why Amana Bank deserves a premium to other conventional banks

npp wrote:still doesn't explain why Amana Bank deserves a premium to other conventional banks

an IPO... is an offering... u don't like it... don't accept it....

I think it is a bit too high my self... so i ain't subscribing...

i kno this management and company inside out.... my take on the IPO is tht... this share is not a good share to trade... however on a 5 to 10 year horizon... i am expecting an above average return... u just gotta hold it.... don't expect an LHCL price hike overnight ....


doesn't mean ppl shud insult other ppl'z religions... like wut jiggy is doing....

Jiggy, whether its the perfections or imperfections, we're talking about the IPO.. So just ignore anything else like the rest of us and contribute only to the discussion of Islamic finance and Amana.

Whatever the teachings in stone age, if applicable to us, if we see good in it, take it.. If those theories, teachings have been shaped modifications to the old literacy is seen, its cuz more ppl have put many hrs to take good outta it and thought of ways to make it better for everyone. So we may be in a better position in those.
But ppl are a curious breed, we all have right to take what we want and ignore what we dont want. Still there will be ppl to grab what we ignore..

Even stock markets operate under this principle.. I grad good shares, u grab better shares, someone else will get the best of all them all and still there will be ppl to grab the rest of the crap.

Zaiban wrote:

npp wrote:still doesn't explain why Amana Bank deserves a premium to other conventional banks

an IPO... is an offering... u don't like it... don't accept it....

I think it is a bit too high my self... so i ain't subscribing...

i kno this management and company inside out.... my take on the IPO is tht... this share is not a good share to trade... however on a 5 to 10 year horizon... i am expecting an above average return... u just gotta hold it.... don't expect an LHCL price hike overnight ....


doesn't mean ppl shud insult other ppl'z religions... like wut jiggy is doing....

From the beginning I was asking the following:
* How the business works
* How would you value it, and
* What is the valuation that one would give

I'm not looking at what brokers are saying. I wanted some discussions.

To hold it for 5-10 years you really need not buy from an IPO. One can always buy from the secondary market when (and if) it starts to trade below IPO price. Those who have vested interest in order to see that the required money is raised, will apply for the IPO. Mind you, this is the first of its kind in CSE.

If you strip the "offensive" things that Jiggy apparently is on about, he is basically warning people that investing in the said IPO is not recommended. One cannot ignore due to what happened after the previous over valued IPOs

http://www.cse.lk/cmt/upload_cse_announcements/5251386933255_.pdf

npp wrote:

Zaiban wrote:

npp wrote:still doesn't explain why Amana Bank deserves a premium to other conventional banks

an IPO... is an offering... u don't like it... don't accept it....

I think it is a bit too high my self... so i ain't subscribing...

i kno this management and company inside out.... my take on the IPO is tht... this share is not a good share to trade... however on a 5 to 10 year horizon... i am expecting an above average return... u just gotta hold it.... don't expect an LHCL price hike overnight ....


doesn't mean ppl shud insult other ppl'z religions... like wut jiggy is doing....

From the beginning I was asking the following:
* How the business works
* How would you value it, and
* What is the valuation that one would give

I'm not looking at what brokers are saying. I wanted some discussions.

To hold it for 5-10 years you really need not buy from an IPO. One can always buy from the secondary market when (and if) it starts to trade below IPO price. Those who have vested interest in order to see that the required money is raised, will apply for the IPO. Mind you, this is the first of its kind in CSE.

If you strip the "offensive" things that Jiggy apparently is on about, he is basically warning people that investing in the said IPO is not recommended. One cannot ignore due to what happened after the previous over valued IPOs

*how the business works.. explained a 100 times over above... can do again if needed... for now read earlier posts... or ask google or wiki even betta...

*nobody asked u to buy at IPO....

*if u think it is over valued don't buy

Zaiban wrote:

npp wrote:

Zaiban wrote:

npp wrote:still doesn't explain why Amana Bank deserves a premium to other conventional banks

an IPO... is an offering... u don't like it... don't accept it....

I think it is a bit too high my self... so i ain't subscribing...

i kno this management and company inside out.... my take on the IPO is tht... this share is not a good share to trade... however on a 5 to 10 year horizon... i am expecting an above average return... u just gotta hold it.... don't expect an LHCL price hike overnight ....


doesn't mean ppl shud insult other ppl'z religions... like wut jiggy is doing....

From the beginning I was asking the following:
* How the business works
* How would you value it, and
* What is the valuation that one would give

I'm not looking at what brokers are saying. I wanted some discussions.

To hold it for 5-10 years you really need not buy from an IPO. One can always buy from the secondary market when (and if) it starts to trade below IPO price. Those who have vested interest in order to see that the required money is raised, will apply for the IPO. Mind you, this is the first of its kind in CSE.

If you strip the "offensive" things that Jiggy apparently is on about, he is basically warning people that investing in the said IPO is not recommended. One cannot ignore due to what happened after the previous over valued IPOs

*how the business works.. explained a 100 times over above... can do again if needed... for now read earlier posts... or ask google or wiki even betta...

*nobody asked u to buy at IPO....

*if u think it is over valued don't buy

* "explained" - if you say so. Anyway seems you haven't read what else was posted regarding this.

* we are in this forum for a reason. if there is one view and you disagree, come up with some valid points instead of such silly answers.

* I'm not asking you for a recommendation. If you are trying to glorify the company and the IPO, you better come up with some valid reasons.

I appreciate that you are posting so much in the forum compared to promoters of various other shares who finish posts in a few words. While appreciating your effort, I would be glad if we can stick to the business and equity portion of the subject. Some of it, as mentioned by many on numerous occasions, may create the necessity to go into the religious part of it which I am least worried about, but we need not go deep into that.

Jiggysaurus wrote:

yellow knife wrote:

Now dont tell me that Islamic banks only make profit. Learn about Islamic Bank of Baharain.

 

Why go to Bahrain? Even the wonderful "holy" Amana Bank is making losses upto September of 2013. So in theory those who have savings (or whatever Arabic nonsense term used) account should get less than what they deposited in 2013. Deposit 100 on Jan 1 2013 in Amana Bank and you will get 90 on Dec 31 2013 if the bank losses continue (this is why I call this IPO a seetu scheme.

this guy is absolute idiot. does not know how banks work is this country. the difference between bank deposits and equity. his hatred drives his stupidity

I just read this thread updates.

Here is my observation :  

1) Regarding IPO : This IPO is overvalued .  PBV of 2 does not justify when there are many other banks/fins  trading around 1-1.5 PBV in this market which are making much healthier profits. Considering the "uniqueness of the business" if one want to experiment or go with sentiments  ,  Rs 5 IPO  price would have been a better price to gamble.  Amana  earnings shown within last few years are not strong and convincing.  Now whether the share price will go up after IPO I don;t know.  Like other share this  can be manipulated up . But if there is natural market behavious Rs 7 is too much and share price  should go down within the next few months until bank shows maturity and capability sustain profits.  

Forget religions , forget experimentation, forget sentiments, based on market fundamentals and norms this IPO I would Not subscribe.


2) Discussion vs Religious comments :

 I encouraged the thread to go as  there will be some level of criticism  and dragging of the Islam religion as this IPO is directly tied with Islamic faith.  It is unlike any other IPO CSE has seen we need to understand.   There are lot of doubts to be ironed out and clarification to be made .

I am sure even some people practising Islam did not know  how Islamic banking works.   This thread gave some light. Good discussion came out of this thread. Good job.  

However I see unnecessary comments starting to come.

One is talking about A Prophet who is "the single most perfect man in history," .  Zaiban do you realize this can be  be upsetting   to other religions and faiths. One will say Jesus is the  most perfect. Others will say Buddha is the most perfect.  There are people who believe  Charles Mason is the god. This 25 years old girl thinks so

http://www.dailymail.co.uk/news/article-2511564/In-love-bars-Charles-Manson-79-25-year-old-woman-hes-going-MARRY-Americas-notorious-serial-killer-reveals-hes-bisexual--STILL-claims-hes-innocent.html

This is not needed here. Guys don't go grouping to protect interests. I see Jiggy's one complaint is such and the lack of freedom of speech as he is attakced.


Jiggy, you are not sticking to the point and some of your comments are insulting people who practice Islam. You need to clearly watch it.  We need to note that there are both extremists and respectable/reasonable  educated people  who practice Islam ( some other religions also have ) who does follow their mind than following every "archaic belief" as you say.  To see this matter more in dept one can simply  note ( in general)  why people in Saudi/Afghan are  not that friendly and ruder  compared to people from UAE/Turkey or even Malaysia . Some muslim countries don;t not blindly follow certain laws even if they are in the holy book. There are in depth social factors we need to consider. We should not put everyone in the same faith to one basket and say they are all bad and attack their faith.

Attacking all  muslim based on what is said and done by some  is simply not done. Period.   Mainly  all of this is not related to this  IPO discussion.


3) Future of this thread :

   This thread served a purpose . Now the IPO has started. There is no more point in talking unnecessary things about religion . What is needed has been said except for some educated discussion on the workings of Islamic financing and why it is better than other banking as far as share market investment is concerned.


If further unnecessary , unrelated comments are made this thread will be locked .

All parties , behave ethically. No grouping to protect interest or no attacking religions or people. .  Simply put don;t promote religions or demote religions here. I see both factions are at fault.

Stick to the point and discuss if you guys want  this thread to be, to gain respect from others as this is a public forum ( smart people can see your "internals" and beliefs hope you know what I mean)  and  not to break forum rules/ethics .

Now since the IPO is over lets keep fingers crossed. Although the issuing price is too high, the company never paid dividents and is loss making, THIS IS CSE. We have seen stock much worse than this being artificially inflated!

Dec 24, 2013 (LBO) - Sri Lanka's Amana Bank has received 1.5 billion rupees of subscription for its initial public offer and would close on December 24, registrars to the issue said.

The bank offered 214.3 million shares at 7.0 rupees and a further 71.5 million shares if the first tranche was fully taken up.

The first tranche had been fully subscribed and the offer would be kept open till 4.30 pm today for any orders to the second tranche.

Amana offers Islamic banking services.
http://www.lankabusinessonline.com/news/sri-lanka-amana-bank-ipo-subscriptions-top-rs1.5bn/114803347

http://www.cse.lk/cmt/upload_cse_announcements/7581388142874_.pdf

http://www.cse.lk/cmt/upload_cse_announcements/8781389181426_.pdf

http://www.cse.lk/cmt/upload_cse_announcements/3361390553606_.pdf

This Thread was disgusting to look at you would think we were in the stone ages . Extremism at it's best . very sad to see. We have not learnt yet it seems. What matters is the profitability or loss making ability from an investment point of view. Not if it's run by 100% muslims or has 100% sinhala customers. I feel the admins too should nip this sort of thing in the bud and ban people from this site. Religious and racial intolerance, extremism should not be tolerated here. If we are vocal about CSE manipulation and everything else that goes with it , we should be vocal about everything that goes against the very principals of cohabitation and respect and compassion thought by all Gods. No religion teaches hatred to each other , it's the mortals that twist these teachings to suit their own agenda's .

Admins you guys should delete this thread. Even though some sort of valid discussion takes place about the Amana IPO. You can't help but notice the racial under currents, which over ride the actual topic.

Aubrey Perera wrote:This Thread was disgusting to look at you would think we were in the stone ages . Extremism at it's best . very sad to see. We have not learnt yet it seems. What matters is the profitability or loss making ability from an investment point of view. Not if it's run by 100% muslims or has 100% sinhala customers. I feel the admins too should nip this sort of thing in the bud and ban people from this site. Religious and racial intolerance, extremism should not be tolerated here. If we are vocal about CSE manipulation and everything else that goes with it , we should be vocal about everything that goes against the very principals of cohabitation and respect and compassion thought by all Gods. No religion teaches hatred to each other , it's the mortals that twist these teachings to suit their own agenda's .

Admins you guys should delete this thread. Even though some sort of valid discussion takes place about the Amana IPO. You can't help but notice the racial under currents, which over ride the actual topic.

What's with you digging up old threads? Let them rest.

Aubrey Perera wrote:This Thread was disgusting to look at you would think we were in the stone ages . Extremism at it's best . very sad to see. We have not learnt yet it seems. What matters is the profitability or loss making ability from an investment point of view. Not if it's run by 100% muslims or has 100% sinhala customers. I feel the admins too should nip this sort of thing in the bud and ban people from this site. Religious and racial intolerance, extremism should not be tolerated here. If we are vocal about CSE manipulation and everything else that goes with it , we should be vocal about everything that goes against the very principals of cohabitation and respect and compassion thought by all Gods. No religion teaches hatred to each other , it's the mortals that twist these teachings to suit their own agenda's .

Admins you guys should delete this thread. Even though some sort of valid discussion takes place about the Amana IPO. You can't help but notice the racial under currents, which over ride the actual topic.

Mate, given the nature of the subject being discussed avoidence of those racism and other facts were unpreventable. After all we were discussing an IPO based on so many Islamic beliefs and many had the question whether we should also beleive in them to invest in this. Later on many facts were revelaed relevant or irrevalant and we got some idea on the bank.

However, if you take the spirit of this, the IPO was over valued but oversubscribed as we predicted. And it saw the same fate as predicted by us what would happen to another over priced IPO. So I dont think more probin is necessary as you cal look at the price now.

Wasn't digging up old threads Fresher. This thread was given to me by a fellow member to my question about Amana share price.. Smalls I agree but I think you guys let the racial banter go on for too long . analyzing a share on beliefs that we sometimes don't understand is one thing, insulting peoples beliefs and dragging racial and religious disharmony to this site is another thing. Admins of all should know this and apply the rules accordingly.

Aubrey - then what was the reason for digging up the deepti perera thread? Stirring up controversy?

Small - on a sidenote, nowadays even if an issue struggles to get subscribed, once it finally does in the last minutes, they still advertised as "oversubscribed". I'd rather call it (finally) fully subscribed. there is nothing 'over' about it

Fresher You need to read a bit before making wild accusations. the Deepthi controversy was in full swing with many members commenting look at the number of pages and views if you haven't. FYI when I see comments on a thread that I have commented I re comment. in a forum this is what you do isn't it? . Sometimes when you check your account after a few days you don't notice the comments and re comment. Stirring controversy ? dude that whole thread is controversial. get your facts straight.

Aubrey Perera wrote:Fresher You need to read a bit before making wild accusations. the Deepthi controversy was in full swing with many members commenting look at the number of pages and views if you haven't. FYI when I see comments on a thread that I have commented I re comment. in a forum this is what you do isn't it? . Sometimes when you check your account after a few days you don't notice the comments and re comment. Stirring controversy ? dude that whole thread is controversial. get your facts straight.

let it rest