“The main reason for their suspension is the lack of interest of their managers, who neither submitted necessary reports on time nor signed the contract with the Central Depository,” said Petru Prunea, member of BVB’s Board of Directors.
Only a small portion of tradeable companies are traded regularly, and some 100 companies meet the liquidity requirements. According to statistics, transactions of shares of the five most traded companies on the Rasdaq amounted to €330 million. The Asirom insurance company ranked first, with transactions worth almost €100 mln. Gas and oil equipment and instrument producer, Armax Gaz, and the Ardaf insurance company come second and third, respectively, both with transactions exceeding €62 mln.
“We have tried to explain to some of the suspended companies the advantages of being on the capital market. But it is not up to us. If managers do not understand, we cannot make these companies attractive for investors,” Prunea added.
If the Central Depository does not sign a contract with the issuer, the latter will be suspended from the equities market, according to the Romanian National Securities Commission (CNVM). The Central Depository has been operational since April 10, and provides logistical support for the safekeeping and transfer of financial instruments.”Suspended companies are a problem for us, as they will be for the Romanian National Securities Commission. I believe that they should normally be delisted, but for that to happen the Stock Exchange and CNVM need to find a solution,” said Adrian Manaila, member of the Board of Directors of the Stock Exchange.He added that the stock exchange could keep the companies on the market, and present them with an alternative, but the law forces them to have a contract with the Central Depository, and since they failed to sign one they are now suspended. Manaila said that CNVM is the institution that should enforce the law.
