Bucharest Stock Exchange - a new start Dr. Lucian Anghel, Bucharest - - PowerPoint PPT Presentation

▶
bucharest stock exchange a new start
SMART_READER_LITE
LIVE PREVIEW

Bucharest Stock Exchange - a new start Dr. Lucian Anghel, Bucharest - - PowerPoint PPT Presentation

Jun 10, 2023 248 likes •422 views

Bucharest Stock Exchange - a new start Dr. Lucian Anghel, Bucharest Stock Exchange The Sound of Money, Sofia, May 15, 2012 Positive correlation between FDI and GDP / capita FDI, exports and GDP / capita in selected European countries

slide-1
SLIDE 1

Bucharest Stock Exchange - a new start

  • Dr. Lucian Anghel, Bucharest Stock Exchange

“The Sound of Money”, Sofia, May 15, 2012

slide-2
SLIDE 2

Positive correlation between FDI and GDP / capita

FDI, exports and GDP / capita in selected European countries

Source: Eurostat

2

slide-3
SLIDE 3

2000 4000 6000 8000 10000 12000 14000 16000 2000 … 2005 … 2011 Romania Poland Hungary Czech R

Romania’s GDP per capita increased faster than in other CEE countries in the last 10 years

GDP per capita in CEE countries (EUR)

Source: Eurostat 3

slide-4
SLIDE 4

80% 90% 100% 110% 120% 130% 02-Jan-09 02-Apr-09 02-Jul-09 02-Oct-09 02-Jan-10 02-Apr-10 02-Jul-10 02-Oct-10 02-Jan-11 02-Apr-11 02-Jul-11 02-Oct-11 02-Jan-12 02-Apr-12 CZK HUF PLN RON

Romanian leu is the most stable currency in CEE due to the managed floating regime followed by the central bank

FX rate in CEE countries (January 2009 = 100%)

Source: Reuters 4

slide-5
SLIDE 5

Romania - Development potential until 2020

5

Indicator 2000 2011 2011 vs 2000 2020f 2020 vs 2011 GDP (EUR bn) 41 137 EUR 8 bn/year 245 EUR +109 bn GDP/capita - nominal (EUR) 1,800 6,400 +11% per year 11,500 +80% FDIs (EUR bn)* 7 54 EUR 3.9 bn/year 86 EUR +32 bn

  • NonGvt. Loans (EUR)**

3 52 EUR 4.1 bn/year 95 2 x MkCap (EUR bn) 0.3 14 +46%y/y 46 3.4 x European Funds (EUR bn)

  • 2
  • 7

EUR + 5bn

* FDI stock in the reporting economy ** Resident customer data

slide-6
SLIDE 6

Bucharest Stock Exchange – frontier market

Key figures Market capitalization (including Rasdaq segment and excluding Erste Group Bank) EUR 15bn Market capitalization/GDP = 9% (2011) Daily average turnover (2012) = EUR 8.3mn 79 companies listed on the regulated segment 24 companies with a market capitalization above EUR 50mn 12 companies with a daily average turnover above EUR 50th 6

Development of market capitalization and turnover

Source: Erste 1.3 2.5 4.4 4.9 10.9 17.6 24.5 31.4 10.1 12.2 13.0 13.5 1.0 1.0 1.4 1.6 2.9 9.9 12.3 21.8 9.3 5.4 5.9 9.8 5 10 15 20 25 30 5 10 15 20 25 30 35 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 EUR mn EUR bn

MkCap excluding Erste Group Bank (EUR bn)-lhs Daily average turnover (EUR mn)-rhs

Since the beginning of the year, BET marked the highest return (+15.9%) vs peers.

Period BET Return (%) DJIA Return (%) DAX Return (%) end 2007 to date

  • 48.84%
  • 3.35%
  • 18.44%

end 2008 to date 73.25% 46.08% 36.79% end 2009 to date 7.16% 22.94% 10.45% end 2010 to date

  • 4.60%

10.74%

  • 4.83%

end 2011 to date 15.89% 4.94% 11.56% Source: Erste

slide-7
SLIDE 7

Source: F.E.S.E. 23.9% 22.7% 17.8% 14.1% 9.8% 8.4% 8.3% 6.6% 0% 5% 10% 15% 20% 25% 30% ISE 30 DAX ATX BUX CAC40 Euronext 100 WIG20 BET

BET – one of the highest advances in Europe in 1Q2012

7

slide-8
SLIDE 8

Bucharest equity market vs its peers - undeveloped

8

Market Capitalization, December 2011

* Bucharest Stock Exchange capitalization excluding Erste Group Bank **Warsaw Stock Exchange capitalization includes only domestic companies Source: Eurostat, Erste 29.2 14.6 99.9 13.5 6.4 26.0 65.7 18.5% 14.7% 29.3% 10.1% 16.3% 12.0% 21.8% 0% 5% 10% 15% 20% 25% 30% 35% 20 40 60 80 100 120 Czech Republic Hungary Poland** Romania* Bulgaria Greece Austria

Market Capitalization (EUR bn) Market Capitalization (% GDP)

slide-9
SLIDE 9

Top most traded companies in 2011

Company Ticker Sector / Expertise Average Daily Turnover (EUR th) MkCap Dec. 2011 (EUR mn) Free- Float Free-Float capitalization (EUR mn) Fondul Proprietatea FP Closed-end fund (key sector: energy) 5,157.81 1,361.99 73% 998.34 BRD-GSG BRD Banks 1,005.35 1,727.86 42% 720.13 SIF Oltenia SIF5 Closed-end fund (key sector: banks) 610.43 141.96 100% 141.96 SIF Moldova SIF2 Closed-end fund (key sector: banks) 390.53 129.78 100% 129.78 SIF Transilvania SIF3 Closed-end fund (key sector: banks) 385.47 143.35 100% 143.35 Banca Transilvania TLV Banks 348.97 362.97 85% 309.94 Petrom SNP Oil & Gas 340.64 3,802.76 8% 313.37 SIF Banat Crisana SIF1 Closed-end fund (key sector: banks) 202.49 114.73 100% 114.73 SIF Muntenia SIF4 Closed-end fund (key sector: banks) 178.50 106.68 100% 106.68 Argus Constanta UARG Edible oil producer 153.70 33.22 65% 21.53 Bursa de Valori Bucuresti BVB Stock exchange operator 127.04 51.34 100% 51.34 Transgaz TGN National gas transmission & system operator 123.48 608.77 12% 70.02 Oltchim Rm. Valcea OLT Organic basic chemicals 116.06 87.16 14% 11.94 Source: Erste

9

slide-10
SLIDE 10

Dividend yield development for the most important listed companies

10

*Romania Interbank Offered Rate Source: BSE, NBR, Erste 7%

3% 9% 8% 10% 13%

3% 4% 0% 0% 5% 10% 2% 2% 9% 6% 8% 19% 9% 8% 15% 11% 6% 6% 0% 5% 10% 15% 20% 25% 2006 2007 2008 2009 2010 2011

Fondul Proprietatea Transgaz Petrom SIFs ROBOR 3M*

slide-11
SLIDE 11

Romanian Government’s ambitious plan to tap equity market (2012-2013)

11

Company Sector MkCap/Fair value (EUR mn) Stake held by the state Stake of the public

  • ffering

Public offering value (EUR mn) Official timing Transelectrica Pow er transmission 247 73.70% 15.0% 37 March 14 - 27, 2012 Transgaz1 Gas transmission 577 73.50% 15.0% 87 June, 2012 Romgaz2 Gas production

  • 85.00%

15.0% >250 September, 2012 Hidroelectrica3 Pow er generation

  • 80.10%

10.0% >250 October, 2012 Nuclearleectrica Pow er generation

  • 90.30%

10.0% >100 December, 2012 Petrom Oil & Gas 5,034 20.60% 9.8% 493 Likely in 2013 Source: Government, Erste

1 Consortium intermediating the offering: Raiffaisen Capital & Investment, Wood & Company Financial Services and BT Securities

2 Consortium intermediating the offering: Goldman Sachs, Erste Group Bank, BCR, Raiffeisen Capital & Investment and Intercapital Invest 3 Consortium intermediating the offering: Citigroup, Societe Generale, BRD-GSG and Intercapital Invest

slide-12
SLIDE 12

Transelectrica SPO, last successful public offering since 2008

SPO Figures: Transaction value: EUR 38mn Stake sold: 15% (seller: Minister of Economy) Subscription period: March 14 – March 27, 2012 Subscription level: 158.8% Institutional investors tranche

  • 90% of the shares sold
  • Oversubscribed 1.4x
  • Effective subscription value: EUR 50.5mn

Retail tranche

  • 10% of the shares sold
  • Oversubscribed 2.8x
  • Effective subscription value: EUR 10.9mn

About Transelectrica:

  • Transelectrica is the Romanian transmission

and system operator, ensuring the security of the Romanian power system.

  • Transelectrica was listed on the BSE in June

2006 following 34.5mn EUR successful IPO MkCap: EUR 246.9mn Average daily turnover (3M): EUR 84,187

12

slide-13
SLIDE 13

2012 – 2015: A new growth strategy for BSE

13

slide-14
SLIDE 14

Romania and Bulgaria entered the EU together (2007) Romania and Bulgaria (most probably) goes together in Schengen area Foreign investors are seeing Romania and Bulgaria as part of the same region Cooperation between BVB and BSE may increase the attractiveness

  • f both markets

Regional cooperation between BVB and BSE is a must

14

slide-15
SLIDE 15

Thank you!