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ZSE: Petrokemija at 220 kuna

The indices of the Zagreb Stock Exchange were up about one percent around noon, with the biggest winner being the shares of Petrokemija, whose price jumped more than 6 percent after the company announced a public call for recapitalization today.

The Crobex index was up 0.90 percent around noon, at 1,849 points, while Crobex10 was up 1.19 percent, at 1,039 points. The regular turnover in shares amounted to 4 million kuna, which is approximately the same as yesterday at this time.

– The Crobex indices strengthened today thanks to the rise in the prices of shares of Petrokemija, Ina, HT, and Valamar. Generally, there is a positive atmosphere on the stock exchange ahead of the start of the domestic companies’ earnings report season – says Nigela Bubalo, broker and member of the Management Board of the investment company Credos.

The highest turnover by noon was achieved by Valamar Adriatic shares, amounting to 753,000 kuna. Its price rose by 0.74 percent, to 157.16 kuna. The biggest winner among shares is Petrokemija, whose price jumped 6.27 percent, to 220 kuna, with a turnover of 340,000 kuna.

The company announced a public call for recapitalization today. In the first round, existing shareholders have the right to subscribe to shares, with a maximum of 1,102,569 shares available for subscription.

In the second round, the right to subscribe to all remaining shares that were not subscribed and paid for in the first round would be granted to shareholders who subscribed to shares in the first round, while in the third round, new shares would be offered for subscription to all investors.

The shares will be offered for sale in a price range of 170 to 228 kuna per share. The subscription will be considered successful if at least 50 percent of the total amount of the issuance is subscribed and paid, or at least 551,285 shares. The shares of HT are also in greater focus for investors. By noon, a turnover of 648,000 kuna was achieved with it, and its price jumped 1.89 percent, to 182 kuna.

In the past three days, this share has increased by 7.7 percent, recovering after touching a historically low level of 169 kuna on Monday.

The shares of Ina also strengthened significantly, by 2.75 percent, to 4,300 kuna, with a turnover of 602,000 kuna.

Regarding business news, the government decided today on the sale of 99.13 percent of the shares of Hrvatska poštanska banka, as well as on the sale of up to 50 percent of the shares and the recapitalization of Croatia osiguranje, with both companies expected to be privatized through a public collection of offers from strategic investors.

Privatization tenders are expected to be announced this month and will last until mid-September, with the government discussing the offers at the end of September and the beginning of October.

There has been no trading in HPB shares so far, while Croatia osiguranje shares achieved a turnover of 81,000 kuna, with its price weakening by 2.12 percent, to 6,754 kuna.

“We have long awaited the decision on the privatization of these two companies on the stock exchange. In any case, their privatization is positive news for the capital market,” says Bubalo.

Guidance for investors could soon be provided by Podravka, which will hold a press conference at 1:00 PM to announce its semi-annual business results.

The price of Podravka shares is stagnating around 232.6 kuna, and so far a turnover of 26,500 kuna has been achieved with it.