Foreign fund Pershing LLC via Averbach Grauson yesterday exited Lanka Milk Foods Plc (LMF) selling its 8% stake for Rs. 346 million.
The sale figured in the trade of 5.6 million LMF shares yesterday for Rs. 590.4 million accounting for the highest share of turnover at Colombo Bourse. Of the total 114 trades executed there were 11 crossings amounting to 5 million shares at Rs. 105 each and 200,000 shares at Rs. 107 each.
As at 30 June, Pershing LLC had 3.3 million shares or 8.27% in LMF and was the third largest shareholder and analysts said it had sold out. Foreign holding in LMF had declined by 3.007 million shares yesterday.
Controlling shareholder Milford Exports, controlled by business leader Harry Jayawardena is believed to have bought around 2 million of Pershing’s holding. Milford along with Mills Enterprises and Distilleries control 50.78% stake in LMF. The other major local shareholder is JB Cocoshell which as at end June had 3.5% stake. Some speculated it may have been on the buying side yesterday.
Midst these deals LMF hit an intra-day high of Rs. 116 before closing at Rs. 110.40, up by 20 cents.
Last week LMF gained by Rs. 9.20 to close at Rs. 109.30 with 0.7 million shares traded. Net asset value of LMF is Rs. 52.