The Pakistan Stock Exchange (PSX) on Tuesday said “an inadvertent error” in determining the ex-dividend reference price of Bank Alfalah Limited led to a miscalculation in its share price and circuit breaker range, but maintained that all trades executed during the session would remain valid as the market achieved fair price discovery.
“All market participants are hereby informed that during the process of determining the ex-dividend reference price for Bank Alfalah Limited (BAFL), an inadvertent error occurred whereby Rs3.00 was deducted from the previous day’s closing price of Rs59.95 instead of the correct dividend entitlement of Rs1.50.
“This resulted in an erroneous ex-price of Rs56.95 against the correct ex-price of Rs58.45, consequently understating the circuit breaker range, displayed as [51.26 – 62.65] against the correct range of [52.61 – 64.30],” read the notice.
PSX said that despite the discrepancy, the market conducted active trading throughout the session, and fair price discovery was established through genuine arm’s length transactions, with prices trading within the actual correct range.
“In view of the foregoing, the Exchange does not consider it necessary to intervene in or disturb the market. All trades executed during the session and the closing price to be determined shall be treated as final and shall continue to be referenced accordingly.
“However, to ensure accuracy in the Exchange’s records, the previous day’s closing price of BAFL shall be adjusted from Rs56.95 to the correct figure of Rs58.45, reflecting the accurate dividend entitlement of Rs1.50,” it concluded.
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