The newly listed Sonali Life Insurance's share price jumped 378% to Tk76.40 as the company declared a 10% cash dividend for the last year and 2% cash as interim dividend for the first quarter of this financial year.
On the last trading day, its share price was only Tk16. But it's share price increased by Tk60 in a single day while it declared only Tk1.20 as dividend to the shareholders.
The dividend was declared at a board meeting that was held on Thursday evening. As per securities rules, there is no circuit breaker barrier on the first trading day after dividend declaration of any listed companies. That is why, Sonali Life shares have no price limit for today.
To secure approval for the declared dividend, an audited report and other matters, the company will hold an annual general meeting (AGM) on 24 August.
The record date for the AGM is set for 1 August.
On 30 June this year, the company made its debut on the stock exchanges.
The company's IPO shares were oversubscribed 36.45 times by general investors who submitted applications through the electronic subscription system (ESS).
Meanwhile, in the first trading hour of Monday, the benchmark index DSEX of the Dhaka Stock Exchange (DSE) rose by 0.16% to 6,223 points till 11:00 am, while the turnover of the DSE fell by 2% to Tk390.50 crore.
During the session, 181 companies' share price advanced, while 133 declined and 54 remained unchanged at the DSE.
Sonali Life Insurance grabbed the top position in turnover chart with trade worth Tk29.38 crore, which was followed by BD Finance and LafargeHolcim Cement.
The port city bourse Chittagong Stock Exchange gained 19 points to close at 18,021 at 11:00 am.