TODAY’S NEWS
ECONOMY & COMPANIES
–The assets of the seven private pension funds operating on the mandatory segment in Romania (Pillar II) reached RON107.4 billion in May 2023, Romania’s Financial Supervisory Authority (ASF) data showed.
–Nuclear power producer Nuclearelectrica placed with state-owned lender CEC BANK a term deposit in the amount of RON287.5 million, the company informed its shareholders and investors via a report to the Bucharest Stock Exchange (BVB) on Thursday (June 22).
–BVB Chairman Radu Haga was elected President of the Federation of Euro-Asian Stock Exchanges (FEAS), according to a LinkedIn post by the organization.
–ASF approved the prospectus for the share sale of up to 17.34% of state-owned hydro power producer Hidroelectrica, which will run from June 23 until July 4 on the BVB. The company’s valuation is ranging between RON42.3 billion and RON50.4 billion(€8.5bn to €10bn), namely between 8.6 times and 10.2 times the net profit registered in the past 12 months (Q2 2022 – Q1 2023), reads the listing prospectus. Hidroelectrica is Romania’s biggest energy producer, accounting for a third of its electricity. Probably the most important event since the Bucharest Stock Exchange (BVB) was re-opened in 1995, the IPO is expected to greatly increase the size of Romania’s equity market and liquidity.
TODAY’S MARKET
EXCHANGE RATES
| EUR 4.9561 | GBP 5.8027 |
| USD 4.5645 | CHF 4.0741 |
| BGN 2.5341 | MDL 0.2496 |
BNR INTEREST RATES
| Deposit facility: | 6% |
| Policy rate: | 7% |
| Lending facility: | 8% |
INFLATION RATE
| 10.6% (May 2023) BNR Target 2022: 2.50% (variation band: ± 1pp) |
BUCHAREST STOCK EXCHANGE (BVB) INDICES
| BET -0.91%, BET-TR -0.91%, BET-FI -0.86%, BET-NG -0.18%, BET-XT -0.76%, BETXT-TR –0.76%, BET-BK -1.01%, RO-TX -1.21%, BETAeRO –0.28% |
CAPITAL MARKET COMMENTARY
| Bucharest stocks head into the weekend lower mirroring the trend across Europe as interest rate hikes by several central banks, and some disappointing economic data weighed on sentiment. |
