Bashundhara Paper Mills stocks post 58% price rise in eight days
The company says it has no undisclosed PSI about the price hike
Publicly listed Bashundhara Paper Mills Ltd posted a 58% share price hike in eight trading days at the Dhaka Stock Exchange (DSE).
The company's stock price reached Tk68 per share on Tuesday, which was Tk43.1 on 30 December last year.
But its share price declined 4.85% on Wednesday after the DSE sent a query letter to the company seeking an explanation regarding the unusual price hike.
Bashundhara Paper Mills replied there is no undisclosed price sensitive information (PSI) for the recent increase in share price.
The net profit of the company increased 45% in fiscal 2020-21 compared to the previous year, thanks to an increase in demand for its products, both in local and international markets.
In that fiscal year, the company registered Tk928 crore in annual revenues, an 8% growth from the previous year's Tk854 crore.
In the first quarter of the current fiscal year, its revenue increased about a meager 1%, compared to the same time in the previous fiscal year, but its net profits rose 31%.
Besides paper and tissue products, Bashundhara Paper Mills also manufactures paper sacking, mosquito coils, and hygiene products, including sanitary napkins.
It was listed on the stock exchanges in 2018, and raised Tk200 crore from the stock market with its initial public offering.
