The combined market value of the five financial investment companies reached 1.4bn euros yesterday, an increase of more than 5% on the previous day.
The value of the five SIFs was driven forward by the seven bids submitted in the privatisation of Banca Comerciala Romana, in which the SIFs own 30%.
The BET-FI index, which gauges the performance of the SIFs, reached a new all time high yesterday, pulling up other stocks on the market with it. The BET index concluded the day with an increase of 2%, mainly due to an increase in Banca Transilvania, BRD and Petromidia shares.
The highest increases seen yesterday were those for SIF Oltenia and SIF Moldova, at nearly 6% each. SIF Oltenia thus consolidated its position as the most expensive of the SIFs, closing at 2.17 RON/share, while SIF Moldova closed at 1.85 RON/share. SIF Muntenia rose by 4.6% to 1.35 RON, while the other two SIFs climbed 3.4% each. The SIFs'' market value gained 70 million euros yesterday alone.
Reports by a number of brokerage firms indicate a correct price of up to 24,000 RON per SIF share, and that is taking into account the a value of the 6% in BCR that is 2 to 2.5 times higher than the accounting value of the bank.
"I told the clients I believe the SIFs could reach 2.5 RON," a trader for one of the largest brokerage firms on the market said yesterday.
Information on the market about the bids submitted by the seven contenders in the BCR privatisation race shows that the bidders offered up to 4 times the accounting value of the bank.
Goldman Sachs analysts previously appraised BCR at 3.8 to 5.8bn euros, considering multiples of between 3 and 4.5 times the accounting value of the bank. The real value of the bank, however, will be determined by the amount an investor is willing to pay.
A BCR worth 4bn euros would result in each of the SIF stakes being worth 240 million euros - that is, more than two thirds of the value of each SIF, despite their holding significant stakes in other companies.
The growth of the market over the last few weeks has taken brokers by surprise. Many were expecting a downwards adjustment, after the Bucharest Stock Exchange had been on the rise since early August. A poll among brokers conducted by advisory firm KTD Invest at the end of last week showed that half of its respondents expected the market to fall this week, while the rest expected prices to remain unchanged.
The prospect of the BCR privatisation fetching a good price has also given a boost to the stocks of listed banks, with the BCR price expected to be one of the top criteria analysts use in appraising the value of listed banks.
Banca Transilvania finished yesterday''s session at 1.14 RON, an increase of 2.7% on the previous day, continuing its strong growth of the last few weeks. As a result, the market value of Banca Transilvania reached close to 750 million euros. It has gone up by more than 10% in less than three weeks since the beginning of the month.
The bank''s shares received a boost over the last few days, when the businessmen from Cluj who control the bank collected around 200 million euros from the sale of cable operator Astral, a transaction worth 340 million euros.
vlad.nicolaescu@zf.ro
Pentru alte știri, analize, articole și informații din business în timp real urmărește Ziarul Financiar pe WhatsApp Channels
