- Web Desk
- 9 Hours ago
PSX asks six companies to explain share price surges
- Web Desk
- Aug 09, 2023
KARACHI: The Pakistan Stock Exchange’s (PSX) compliance division has requested six listed companies to explain the significant surge seen in their share prices between July 3 and July 31.
Among the companies under scrutiny is Meezan Bank Ltd, a major listed entity with substantial market capitalization. The bank’s share price rose by 42 per cent from Rs92.85 on July 3 to Rs131.87 on July 31.
PSX’s Head of Listed Companies Compliance Hafiz Maqsood Munshi sent a letter to Meezan Bank, urging them to promptly provide reasons or material information that may have contributed to the substantial price increase.
The PSX also contacted National Refinery Ltd, Honda Atlas Cars Pakistan Ltd, Agritech Ltd, Lalpir Power Ltd, and Escorts Investment Bank Ltd.
These companies were asked to explain notable share price increases ranging from 41.2 per cent to 50.2 per cent during the same period.
Capital market regulators globally monitor abrupt share price movements to safeguard small investors from possible fraud and insider trading. A sudden movement in share prices is considered abnormal when it is unusually high or low in relation to index movement.
Listed companies are required to promptly disclose any significant developments that could affect their stock price.