The Hunt for Profit Has Begun

Although the public offering of shares of Hrvatski Telekom lasts until September 27, citizens rushed to subscribe to their package on the very first morning. In front of the Hrvatska poštanska banka branch on Jurišićeva Street, a considerable queue formed half an hour before the official start of subscriptions, mostly consisting of older people.

When asked why they are in a hurry, most citizens respond with the phrase: ‘The sooner, the better.’ Pejo Stanić, one of the first to make a binding offer for the largest telecommunications company, patiently waited in line chatting with others.
– I was prompted by advertisements on television and discussions about the public subscription of HT shares in the media. This is my first time entering shareholder status, and I hope for a profit. I will pay for my package in cash from my savings – says Pejo about the motives that drove him to subscribe to his package on the very first day.

A little further in line was retiree Dragutin Laušić, who is somewhat more knowledgeable about shareholding than his colleague.
– I already own shares of my former company, Končar, so I know a thing or two about trading securities. I believe that the best way to save is through shares like HT’s. I regret not having bought shares of Ina like some of my acquaintances, so this time I do not want to miss the opportunity. Unfortunately, due to my small pension, I will have to buy my package on credit, but I believe it is a good investment – concludes Dragutin.

About a hundred meters away, at the Erste Bank branch on Varšavska Street, there are only five people, probably because those who are not clients of that bank do not notice the branch at all from the kiosk on Varšavska and the Europa cinema in between.
– Don’t take our picture, go to Masarykova, there is a much bigger queue – the citizens tell us.    Indeed, about fifty meters further through Miškec’s passage and in front of the Erste Bank branch on Masarykova, about fifty early risers are waiting for the branch to open at 8 a.m. and the official start of what could be called ‘share fever’. Most of them cover their faces with newspapers, wanting to maintain some anonymity, but when approached, future shareholders become more talkative.

Young Marko Čmarec has been trading shares for about six months and already has clear expectations regarding the IPO of Hrvatski Telekom.- Unfortunately, I did not take Ina, but I did subscribe to shares of Magma. My goal with Magma was not short-term profit, but this time I want to see how the market will react, and then I will decide whether to sell before the year is up and not wait for the state bonus shares or capitalize on the profit now if the price rises enough. I will buy my package in cash – says Marko about his shareholder strategy.

Judging by the crowds at the Fine, HPB, and Erste Bank branches in Zagreb, it is realistic to expect that the predictions of 100,000 small shareholders of HT who will subscribe to their package will be fulfilled, and it is quite possible that the number of citizens who will leave binding offers will be even higher. The reasons for this could be 40,000 satisfied shareholders of Ina, a fairly good and informative campaign by arrangers in Croatian media, as well as the expectations of citizens and analysts that the government at the end of its term cannot afford a blunder and potential loss of citizens in the public offering, so it is very likely that the price range of 245 to 320 kuna has been set so that a decent profit can be expected in the first days of trading HT, which starts simultaneously on the Zagreb and London stock exchanges on October 5.  (Amir Kulenović)