The Economy and Finance Ministry, the company’s owner, could hand to the government the draft legislation regarding the stock market listing, according to the company’s General Manager, Teodor Chirica, for Business Standard. If the draft is approved this month, proceedings to select the broker for Nuclearelectrica IPO will be launched in October, he added.
“The exact share package will be decided by the government, after the shareholders association recommended 15 percent,” Chirica said. The time of listing will depend on the market conditions, he added.
The listing is necessary to cover for a massive investment plan. The company committed to come up with €100 million to partly finance two reactor for the nuclear Cernavoda plant. Market sources told Business Standard that this is a cautious estimate made by the company regarding funds that could be earned from the BVB listing. Analysts say the company is worth some €2 billion, meaning a 15 percent stock could bring up to €300 million.
The company covers for 18 percent of the national consumption and has two operational nuclear reactors. The second one is operating as of this year and led to a 77 percent increase in business in H1, compared to the first half of 2007, up to €185.5 million. The company’s net earnings amounted to €19.8 million, 10.6 percent higher year-on-year.
