Orion Infusion’s share price doubles in 2 weeks

The share price of Orion Infusion Limited, one of the weakest pharmaceutical firms listed in the stock market with poor business performance, has doubled in just two weeks.

The jump in share prices of this loss-making company has raised many eyebrows.

Like the previous week, Orion Infusion showed dominance in increasing prices last week. Shares of the company rose throughout the week as it topped investors' favourites. 

As a result, the company occupied the top spot in the main stock exchange of the country, Dhaka Stock Exchange (DSE) last week. The top place of price increase was occupied by this company in the previous week as well.

Over the past week, Orion Infusion’s share price has risen 41.05 percent. In one week, the price of this share rose by Tk 90.20 from Tk 220 to Tk 310.30.

The company’s share price rose by Tk 74.20 or 50.89 percent in the previous week, meaning that the company’s share price has more than doubled in two weeks. Two weeks ago the share price of the company was Tk 145.80.

The Dhaka Stock Exchange says that this increase in the price of the company’s shares is unusual. For this reason, the company has also published a message warning the investors. But still the company’s share price has not stopped.

On August 4, investors were informed by the DSE that a notice was sent asking them to know the reason for the increase in the share price of the company. 

In its reply, the company said that there was no undisclosed price sensitive information behind the recent unusual rise in the company’s share price and increased trading.

The price of each share of the company was Tk 125.50 when the DSE issued a warning to investors. That is, after the warning message from DSE, the price of each share of the company increased by Tk 184.80.

The company last paid out a 10 percent cash dividend to investors for the year ended June 30, 2021. Earlier, the company paid 10 percent cash dividend in 2020 and 14 percent cash dividend in 2019.

According to the latest published financial report, the company posted a profit of Tk 1.12 per share in the nine months of business from July 2021 to March this year.

Meanwhile, a group of investors sold the shares of the company they were holding as the price increased. As a result, the company’s shares were traded at Tk 150.44 crore during the last week. And the average transaction was Tk 30.08 crore per working day.

The total number of shares of this company is 2,03,59,760 with a paid up capital of Tk 20.36 crore. 

Out of this, 40.61 percent shares are held by entrepreneurs and directors. Of the remaining shares, general investors hold 39.82 percent, institutional investors 19.28 percent and foreign investors hold 0.29 percent.