Both Kina Securities stock indices gained territories ending high for Thursday’s POMSOX session. The Main index KSi added 21.91 points or 0.59% to 3,747.25 points and similarly the Home index KSHi jumped 379.57 points or 4.94% to 8,057.83 points, slightly above the 8,000 benchmark.
Thursday’s session recorded three gains with nil stock that lost.
The positive movement of the indices was attributed to a heavy weight agricultural stock New Britain Palm Oil Ltd (NBO) at K17.00, up K1.00. Today NBO announced Sime Darby (M) Berhad makes cash takeover offer for NBO shares it does not own for entire shares from all NBPOL shareholders pursuant to PNG Takeovers Code for values 100% of NBPOL equity at GBP 1,073 million (PGK 4,319 million). The price will be of GBP 7.15 or PGK 28.79 per share represents an attractive premium to recent trading levels subject to a minimum acceptance condition of 51%.
A leading financial stock Bank South Pacific Ltd (BSP) ended at K7.19, up 39 toea, while retail stock City Pharmacy Ltd (CPL) added 10 Toea to K1.49.
A junior cap miner Marengo Mining Ltd (MMC) and another financial holding company Credit Corporation Ltd (CCP) closed at 8 toea and K2.60 unchanged respectively. Portfolio management stock Kina Asset Management Ltd (KAM) closed at K1.07 even.
In other news Airlines of Papua New Guinea Ltd (CGA) advises that it has signed agreements with each of Mineral Resources Development Company Limited, Mineral Resources Ok Tedi No 2 Limited and Mineral Resources Star Mountains Limited (collectively “MRDC”), and an agreement with National Superannuation Fund Limited (“NASFUND”) under which each of MRDC and NASFUND has agreed to subscribe K10 million for new shares in the Company (for a total subscription amount of K20 million).The Company will also buy-back 120 million existing shares from the founder and current major shareholder in the Company Sir John Wild, for a nominal price of 1 kina in total. However, the market did not react much to both announcements.
Total shares recorded for the session was 64,161 units at a monetary value of K120,114.72.
In markets abroad, U.S. stocks recorded their biggest one-day gains of the year after an overnight trading session, after minutes of September Federal Reserve meeting signaled it would move cautiously on increasing interest rates. The Dow Jones Industrial Average jumped 274.83 points or 1.6% to 16,994.22 points. However, Japan’s Nikkei share average slumped 117.5 points or 0.75% to 15,478.93 points on Thursday as concerns about a increasing yen, which hit exporters. Meanwhile, The Australian share market has achieved its largest daily rise in almost two months on signs of continued low interest rates in the United States. The benchmark S&P/ASX200 index added 55.40 points, or 1.06% to 5,296.70 points.