Ceybank Unit Trust and the National Savings Bank who together have invested some Rs. 8 billion in the Colombo Stock Exchange have collectively lost over Rs. 500 million in potential profit when they simultaneously started exiting1 a long held position in Vallibel One2 by as much as 40%, a staggering amount.
Shortly after, Vallibel One which was approximately3 entered at a cost of Rs. 18 surged to a high of Rs. 95 before settling at 66.
If not for the release of over 7 million shares to the public during October to December, would the stock have surged and could the activity of Ceybank and NSB be a tell?
1 QoQ change as at 30-Dec-2020
3 both held prior to 31-Mar-2017 which is the base holding date, so the real cost will differ from that stated