Gemini Sea Food stock soars 45% in six days

The share price of Gemini Sea Food Limited has jumped by 45% over the last six trading sessions at the Dhaka Stock Exchange (DSE).

On Wednesday, the company's share price stood at Tk665 apiece, a 7.5% surge from the previous trading session. On 28 March, its share price was Tk456.7.

The DSE had sent a query letter to the company asking it to explain the unusual hike in its share price, to which it replied that it has no undisclosed price-sensitive information.

In October last year, the Bangladesh Securities and Exchange Commission (BSEC) formed a two-member inquiry committee to investigate the unusual increase in the price of Gemini Sea Food shares.

Back then, the company's share price rose 51% in 14 days and stood at Tk593.4 on 19 October. 

In order to identify any market manipulation attempts, the committee was to review the company's unaudited and audited financial statements, and see whether there was any insider trading or other malfeasance behind the share price hike.

From October to December 2022, the company's revenue stood at Tk15.70 crore, which was Tk28.34 crore in the same period of the previous year.

Its net profit stood at Tk1.84 crore and earnings per share at Tk3.01 during the period.

In February last year, Gemini Sea Food submitted a plan to the BSEC to expand its business. It wanted to produce frozen foods such as chicken nuggets, sausages, meatballs, fish balls, shrimp balls, fish fingers, parathas, French fries, cutlets, and other edibles to penetrate the local market.

Gemini Sea Food is the pioneer in exporting certified organic shrimp from Bangladesh to EU retailers. It processes, packages, and exports quality frozen raw shrimp, cooked shrimp, and whitefish. The firm got listed on the DSE in 1985.

It exports to the US, UK, Germany, Denmark, the Netherlands, Belgium, and Russia.

Till 31 March 2023, sponsors and directors held 30.01%, institutions 28.94%, foreign investors 0.33%, and general investors 40.72% of company shares.