Weekly Report
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INTERCITY BROKER JSC WEEKLY REPORT BROKER-DEALER COMPANY Member of Belgrade Stock Exchange th rd Member of Central Securities Depository and Clearing house May 30 – June 03 , 2 0 1 1 52 Maksima Gorkog St., Belgrade, Serbia +381 (11) 3083-100, 3087-862; Fax: +381 (11) 3083-150 e-mail: [email protected]; www.icbbg.rs NIIS on History high Previous trading week we have seen nice investment activity, but also decline of BSE indexes. Total weekly trading turnover has been around EUR 6.8 mil and it was significant increase of 19.34% comparing to the week before. Belex15 Index, the benchmark encompassing the most liquid shares of the BSE, has declined by 0.31% and fell to the level of 809 points, while the Belexline made decrease of 0.05%. Shares: The Petroleum Industry of Serbia NIS (NIIS) was in focus the whole previous week, with total realisation of EUR 1.13 mil. At the first half of previous week we have seen history high of NIS shares on level RSD 850, but at the second half of week NIS shares have declined to the level of RSD 777 at the moment. At the end, shares lost 1.6% of their value on w-o-w level, and the Friday’s close of price was RSD 805. It looks like price have stabilized on its psyhological level around RSD 800. Current Makret capitalisation is around EUR 1.35 bln. It is obviosly that investors are waiting for Q2 results, for their further investment decisions. The shares of Airport Nikola Tesla (AERO) made total weekly turnover around EUR 393,000, and took the fourth place on BSE according the trading turnover. The price has fluctuated from RSD 589 to RSD 635, with the Friday’s close of RSD 598, and it made decrease of 0.17 on w-o-w level. Similiar to NIIS, the shares of AERO made significant increase at the first half of previous week and raeched the level of RSD 635 at the moment, but at the second half price fell to the level of RSD 589, below its psyhological level of RSD 600. Becej-headquartered soybean Sojaprotein (SJPT) processor made pretty good trading turnover of around EUR 544,000, as well as strong price increase of 14.78% on w-o-w level. The price has fluctuated in wide channel from RSD 1,100 to RSD 1,330. The main reason for this rally was announcement of Drafted Decision on Increased of the Capital Stock of “Sojaprotein” A.D. from Retained Profit. According to Board of Direcors proposal, Capital stock of ''Sojaprotein'' A.D. Becej will be increased from the retained profit in the amount of RSD 2,341,805,379.95 by issue of 5,050,680 new shares. It means that Soja protein will issue 51.3% new shares, and new shares will be distributed to the shareholders that were registered with the Central Securities, Depository and Clearing House at June 30th. Current price is RSD 1,251 and the current Makret capitalisation is around EUR 126.3 mil. Shares of Serbian construction giant JSC Energoprojekt holding, Belgrade (ENHL) have been traded mostly below level of RSD 900 in very poor trading volume of around EUR 26,000. The current price is RSD 882, and it recorded decline of 2.97% on w-o-w level. Current Market capitalization is around EUR 85.6 mil. Banking sector was not in focus of investors last week. AIK banka, Nis (AIKB) took the first place in banking sector according to trading turnover, with realisation of about EUR 344,000. Price has been fluctuated from RSD 3,440 to RSD 3,600. Investors are impatient to see Q2 business results, after worse than expected Q1 results. Belgrade based Agrobanka (AGBN) mad pretty nice price increase of 3% comparing to the week before, while trading turnover has been around 147,000. Treasury Bills and Treasury Notes: Two auctions of T-Bills and two auctions of T-Bonds took place last week. 53-week T-Bills sold out at the weighted average rate of return (money market yield) of 12.51% with total turnover about EUR 102 mil, while 6-month government bonds sold out at the money market yield of 12.50% with total turnover about EUR 20.4 mil. 3-year euro T-Bonds sold out at the weighted average rate of return (money market yield) of 5% with total turnover about EUR 58,89 mil, while 15-year euro T-Bonds sold out at the money market yield of 5.85% with total turnover about EUR 46.9 mil. Most Active Stocks of the Week CONTINUOUS TRADING METHOD (without block transactions) Top Gainers/Losers of the Week Traded Value Change Change Issuer Symbol Issuer Issuer (in EUR) (%) (%) JSC Velefarm, JSC Jubmes banka, JSC NIS, Novi Sad NIIS 1,136,084 +18.81% -15.78% Beograd Beograd JSC Soja protein, JSC Jedinstvo JSC Soja protein, Bečej SJPT 543,763 +14.77% -7.68% Bečej Sevojno, Beograd JSC Coca Cola HBC- JSC Messer CCHS 534,556 JSC BIP, Beograd +11.54% -4.16% Srbija, Beograd Tehnogas JSC Aerodrom Nikola JSC Telefonija, JSC Razvojna AERO 392,120 +10.61% -3.63% Tesla, Beograd Beograd banka Vojvodine JSC Globos JSC AIK banka, Niš AIKB 341,111 JSC Vital, Vrbas +4.59% -3.33% osiguranje Business News of the Week News from the Belgrade Stock Exchange (BSE) ► GA Meeting scheduled on 31.5.2011. - Komercijalna banka a.d. , Benetton signs Nitex acquisition agreement - €50m Beograd - KMBN investment announced ► A new business deal in Kazakhstan, worth 26.8 million Eur - Serbian Minister of Economy Nebojsa Ciric and Energoprojekt holding a.d. , Beograd – ENHL Executive Director of Italian Benetton group Biagio http://www.belex.rs/data/2011/04/00067440_E.pdf Chiarolanza signed an agreement today on the ► Report from GA Meeting held on 13.4.2011. - Imlek a.d. , Beograd – acquisition of Nis-based Nitex textile company by that IMLK Italian group. Mr. Chiarolanza said that Benetton would create a new center of the Serbian textile industry in Nis ► Report from GA Meeting held on 20.4.2011. - AIK banka a.d. , Niš - within the next few years. - Benetton is going to build a AIKB complex of new plants in Nis, thus creating jobs for nearly 3,000 citizens of Nis - said Mr. Chiarolanza. Foreign Investors Participation in Total Turnover President of Benetton group Lucian Benetton said that that company planned to create between 2,800 and 100% 3,000 new jobs and invest about EUR 50 million in the company. The agreement was signed in presence of 80% Serbian President Boris Tadic who assessed that textile workers in Serbia had a huge experience and that 60% Serbia was the country where investors in the textile industry can make a significant profit. ( BETA ) 40% Serbia issues bonds in international market - 20% Government bonds worth 700 million euros in European stock markets as of autumn 0% As of this autumn, as people at the Public Debt 30-May 31-May 1-Jun 2-Jun 3-Jun Administration announce, Serbia will for the first time in its recent history issue bonds in the international Total FIS b-FIS s-FIS FIB FIT financial market. Our government bonds worth EUR 700 Source: Belgrade Stock Exchange Analysis: Intercity broker million will appear in the European stock markets. Funds collected in this way will be used to cover the budget hole caused by the unsuccessful sale of the shares of Foreign investor’s participation in turnover of shares ( FIS ) on the buy- Telekom Srbija. According to the people at the Public side ( b-FIS ) hit the highest point on May 30 (68.46%). On weekly level, Debt Administration, the issue of bonds in dinars and foreign investors participated in total b-FIS 59.75% and in total s-FIS euros will provide enough money to cover all the 22.24%. expenses in the state budget by the year's end, as well as some expenditures in the following year. - The Republic of Serbia Bonds (Weekly Change & Yield) interest of potential investors in Eurobonds is highly expressed - says Vuk Djokovic, state secretary in the % Ministry of Finance. - This is a good moment for Serbia Series 27 May 03 June Yield to enter the international financial market. The procedure change of the selection of an adviser for the issue of Eurobonds is underway. We currently negotiate with banks and A2012 94.41 94.69 0.29% 5.64% expect to close the deal in September - Djokovic adds. A2013 89.88 90.02 0.15% 5.41% Over the last five months, the state has plunged into a debt of nearly 1.4 billion euros by selling bonds. For A2014 85.08 85.42 0.4% 5.40% banks, domestic and foreign investors, this is a real business because the profit they make on Dinar bonds A2015 82.19 80.77 -1.72% 5.49% amounts to about 13 percent, while the profit made on securities in euros ranges between 4.48 and 5.95 A2016 76.57 76.70 0.17% 5.45% percent. The budget hole will this year mainly be Source: Belgrade Stock Exchange covered by new debts. Aside from deficits, the costs of refinancing the principal of the existing debts must also Government euro-denominated zero coupon bonds had light trading be covered. Debts will be refinanced with new loans, but value of around EUR 229,800. The most traded issue was a series of the public debt will not be increased because the new A2016 with turnover about EUR 84,600 and yield the return of 5.45% at loans will be used only to pay the existing debts.