Union Bank of Colombo

Union Bank of Colombo

Every investors of Colombo Stock Exchange are expecting the Union Bank IPO Share price tomorrow (29th March 2011),

Before evaluating the expected price, the investor should understand the Market trend of CSE, Union Bank performance and number of times oversubscribed.

There are enough expectations are around the Stock Exchange about the union Bank, such as,

  • The share price will be range of Rs. 50 to Rs.60.

Most of the investors are expecting that the share price will be on Rs.50 to Rs.60. the people who expect this is purely rational of the CSE trend.

  • Expecting below Rs. 50.

This is where the people are not mostly interested to sell on the initial day, and their expectation is to the union Bank shares should be traded higher in future not initial day of Open.

  • Expecting more than Rs. 60.

This is the most of the people are expecting to be, this category is where sell immediately and enjoy the capital gain of investment.

  • Expecting more than Rs.80

This is where irrational expectations of the investors, these expectations are valid cause of the singer finance initial day trading and the Number of times of oversubscribed (Approximately 345 time)

All of the expectations are purely depend on the involvement of trading of the investors, because the Union banks issued 15 Million shares for IPO and going to List 349.250 Million shares.

Therefore this is too difficult to calculate the expected trading price, but it is sure that the price will not go less than Rs.25.

As the Buffet says” if you treat the share market as your friend, he / she will help you”

So better; not to expect any price, watch market carefully, sell or buy at the suitable price as you think,

All the best to all Union bank Shareholders.

Source: http://synergyy.com/2011/03/union-bank-of-colombo-limited-will-be-listed-on-29th-march-2011/




Leave a Reply

Your email address will not be published. Required fields are marked *