Inside Financial Markets

UBL Secondary Offering: What’s my fault ????

privateUBL Secondary Offering: What’s my fault ????

Government is all set to offload shares of UBL on June 11, 2014. Privatization commission has announced the floor price of PKR 155 per share. The bidding will be held from 8.00am to 9.00pm but an irony is the trading will not be suspended on the bidding day.
This decision will not only increase the chances of manipulation and speculation but will also badly hurt the minority investor. The manipulator can dump the shares in the market based on the indicative strike price.
The regulator should take a notice and suspend the trading of the share on bidding day or at least restrict those bidders from selling shares in market who are participating in book building.

Sanie Khan

Sanie Khan holds a deep knowledge of the financial markets in Pakistan. Based in Karachi, he has over 20 years of hands-on management experience in financial technologies and managing operations in the financial sector. He was the General Manager at the Pakistan Stock Exchange (PSX) for 17 years. He along-with senior members of Exchange

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Inside Financial Markets was a joint publication of Pakistan Stock Exchange (PSX)and Society of Technical Analysts Pakistan (STAP)