aladdin wrote:Guys i feel all of u are going on a wrong direction. A fund like EPF is not investing on short or medium. Normally they invest looking at the long run such as 5-10 years of profit realization. In that view what above discussed will not be valid. Many think that the decision made by EPF is wrong because majority is in the set of mind of look at the short run.
But one thing is bit suspicious to me. All the time the seller was same to EPF. May be a core incident. But who knows.
I report u decide.
Some FACTS from Different sources
Since January this year, Sri Lanka’s largest Social Security fund EPF managed by Monetary Board of Central Bank under the guidance of Central Bank Governor Ajith Nivard Cabraal had been buying several stakes of listed companies in the island nation held by either Arjun Aloysius led Perpetual Capital or stakes held by Ajith Devasurendra according to market sources.
It was also evident in May 2011 that Employees provident Fund (EPF) and the Laugfs Gas (LGL) have emerged among top seven shareholders of Ceylon Grain Elevators (GRAN), replacing Perpetual Capital Ltd and Perpetual Asset Management Ltd, in the latest quarterly financials of the company. Subsequently as per financials, several shareholders such as Aviva NDB Insurance, Symphony Capital and Ajith Devasurendra had disappeared from the top 20 shareholders list of GRAN whilst back in 11 February 2011 it was reported that Perpetual Capital, an investment fund, has bought 10.3% stake in Grain Elevators belonging to Singapore’s Prima Group on February 10, a move that reflected bullishness in the food and beverage sector of the country.
On the contrary EPF has stepped up buying further into Sri Lanka’s premier blue chip John Keells Holdings (JKH) at recent times by picking up a bulk of the 2.36 million shares of JKH which traded for Rs. 656 million whilst on March this year after collecting over one million JKH shares. EPF also bought 1 million Royal Ceramics shares for Rs. 150 million on the Mid March. On April this year with a bullish outlook in equity investments, the Employees Provident Fund (EPF) picked up 1 million shares of Aitken Spence (SPEN) for Rs. 165.5 million whilst the seller was Carson Cumberbatch Group (CARS).
Sri Lanka’s largest social security fund EPF that has working population’s savings exceeding Rs.900 billion had been aggressively investing in Sri Lanka’s capital market since May last year when it began investing in Colombo’s five start hotel Galadari becoming the largest institutional shareholder of the company. Thereafter EPF had been actively buying large stakes in premier licensed commercial bank’s of the island nation and EPF is the sixth largest shareholder in Seylan Bank PLC (SEYB) having 5.16%, seventh largest shareholder of DFCC Bank having 4.76%, second largest shareholder of Sampath Bank (SAMP) having 8.25% and second largest shareholder of HNB having over 7% and has over 9% of Commercial Bank of Ceylon (COMB)
Since early 2011, Central Finance (CFIN) shares shot up over Rs.1700 (per share) due to high illiquidity, and market sources speculated about a possible takeover by a group of investors led by Perpetual Capital and Browns fame. Meanwhile, Central Bank’s Monetary Board managed country’s largest pension fund, EPF on Tuesday bought a 2% stake in CFIN just two days before CFIN’s announcement of share subdivision. Market analysts are also of the views that EPF has been actively following several major quantity buyouts of listed companies by Arjun Aloysius led Perpetual Capital and Browns fame since early this year that came in to light after EPF bought major stakes of Laugfs Gas (LGL) and Grain Elevators (GRAN). EPF recently bought stakes in Richard Pieris from Ajith Devasurendra.
Employees provident Fund (EPF) and the Laugfs Gas (LGL) have emerged among top seven shareholders of Ceylon Grain Elevators (GRAN), replacing Perpetual Capital Ltd and Perpetual Asset Management Ltd, the latest quarterly financials outline.
As per March quarter financial accounts of GRAN, EPF has become the fourth largest shareholder of the company holding 8.4 percent (5, 004,900 shares), while shareholder Laugfs Gas becoming the sixth largest shareholder of GRAN with 1.67 percent (1 million shares) of the company.
The accounts also give a hint from whom the two entities have bought shares. Perpetual Capital stake that was 2.134 million shares as at 31 December 2011, has dipped to 693,800 shares on 31 March 2011, and Perpetual Asset Management’s 1.2 million shares had dropped to 456,600 shares as at 31 March 2011.
Meanwhile, as per financials, several shareholders such as Aviva NDB Insurance, Symphony Capital and Ajith Devasurendra had disappeared from the top 20 shareholders list of GRAN whilst Nimal Perera, Guantum Capital and S.N.M. Rishan have reached the Top 20 list.
Back in 11 February 2011 it was reported that Perpetual Capital, an investment fund, has bought 10.3% stake in Grain Elevators belonging to Singapore’s Prima Group on February 10, a move that reflected bullishness in the food and beverage sector of the country. Meanwhile, reports said that analysts speculated part of the increase was due to the interest by Perpetual whilst high networth investor Ishara Nanayakkara of LOLC-Browns fame had picked up around 2.5% stake, and top investor Nimal Perera collecting 1%.