Daily News Recap Thursday, March 12, 2015 Exporters fear growth may fall for unrest Despite political and factory safety challenges at home and an image crisis abroad, apparel exports maintained positive growth during the first eight months of the current fiscal year. However, garment exporters fear the prospects may not remain the same in the coming months. News source: http://www.thedailystar.net/business/export/exporters-fear-growth-may-fall-unrest70517 Private credit growth slows After rising for two months, private sector credit growth came down again in January due to the seemingly never-ending political unrest. Private sector credit grew by 13.3% (YoY) in January, in contrast to the 13.5% growth recorded the previous month, according to Bangladesh Bank. Even the sliding lending rates -- now 12-13% against 14-15% a year ago -- cannot boost demand for funds from the private sector, bankers said. News source: http://www.thedailystar.net/business/private-credit-growth-slows-71008 Major telcos may shun spectrum auction Four top mobile phone operators may not take part in the forthcoming spectrum auction as some of the key issues that the government promised to sort out during the last bidding remain unresolved. In a joint letter, Grameenphone, Banglalink, Robi and Airtel drew Finance Minister AMA Muhith's attention to their “investors' inability to recommend participation” in the auction for 1,800 MHz and 2,100 MHz bands, due to be held on April 30. News source: http://www.thedailystar.net/business/major-telcos-may-shun-spectrum-auction5406 1 Capital Market Research Department Daily News Recap Thursday, March 12, 2015 LBSL’s research reports are also available on Bloomberg LANB <GO> http://lankabangla.duinvest.com Recommendation Interpretation Overweight Stock is expected to give positive return over 20% in one year horizon. Add Stock expected to give a return of 0-10%+ in one year horizon Neutral Current price of the stock reasonably reflects fundamental value. Reduce Stock is expected to fall up to 10% in one year horizon. Underweight Stock is expected to fall by more than 10% in one year horizon. This document (“the Report”) is published by LankaBangla Securities Ltd (“LBSL”) for information only for its clients. All information and analyses in this Report have been compiled from and analyzed on the basis of LBSL’s own research of publicly available documentation and information. LBSL has prepared the Report solely for informational purposes and it is consistent with the Rules and Regulations of SEC. The information provided in the Report is not intended to, and does not encompass all the factors to be considered in a best execution analysis and related order routing determinations. LBSL does not represent, warrant, or guarantee that the Report is accurate. LBSL disclaims liability for any direct, indirect, punitive, special, consequential, or incidental damages related to the Report or the use of the Report. The information and analysis provided in the Report may be impacted by market data system outages or errors, both internal and external, and affected by frequent movement of market and events. Certain assumptions have been made in preparing the Report, and changes to the assumptions may have a material impact on results. The Report does not endorse or recommend any particular security or market participant. LBSL, its analysts, and officers confirm that they have not received and will not receive any direct or indirect compensation in exchange for expressing any specific recommendation, opinion, or views in its Report. The information and data provided herein is the exclusive property of LBSL and cannot be redistributed in any form or manner without the prior written consent of LBSL. This disclaimer applies to the Report in it’s entirety, irrespective of whether the Report is used or viewed in whole or in part. LBSL Capital Market Research Department Md. Mahfuzur Rahman Head of Research [email protected] Analyst Designation E-mail Qazi Musaddeq Ahmad, CFA Nazmul Ehsan Omiya Nazib Haider Chowdhury Salma Yeasmin Xinat Md. Mahfujur Rahman Pritam Saha Md. Rezwanur Rahman Deputy Head of Research Research Associate Research Associate Research Associate Research Associate Research Associate Research Associate [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] Institutional & Foreign Trade Department Rehan Muhammad Head of Institutional & Foreign Trade Department [email protected]/rmuhammad1@bloomberg .net LankaBangla Securities Limited Capital Market Research Department Corporate Office A.A. Bhaban (Level-5) 23 Motijheel C/A Dhaka-1000, Bangladesh Phone: +880-2-9513794 (Ext-122) Fax: +880-2-9563902 Website: www.lbsbd.com 2 Capital Market Research Department