The first day of trading for Fondul Proprietatea shares triggered a record volume of over EUR 50 million in trading with FP shares. The maximum price per share was of RON 0.675 during the first trading day,  below the nominal value of the fund's shares, which is of RON 1. The fund's shares recorded 5,638 trades on the first day, which was a record on BSE. The day also brought the highest number of pre-opening orders on a single listed share- 3,500.

“The Fondul Proprietatea listing could trigger a cascade of positive events especially on the capital market, but for the economy as well. Today's listing can drive other state companies, some of which in the Fondul Proprietatea portfolio, to the Bucharest Stock Exchange, where they are expected,” said Stere Farmache, president of the Bucharest Stock Exchange.

Fondul Propriatatea is managed by Franklin Templeton, which took over the fund's management four months ago. The fund was created in 2005 as a joint stock company with a special purpose to provide compensation to the persons whose real estate assets have been confiscated abusively by the Romanian state during the communist regime and who can no longer receive restitution in kind. The value of the fund’s assets is of EUR 3.5 billion.

The existing shareholders held conversion titles, which were to be changed into shares at the nominal value of the share – RON 1. The conversion procedure was suspended 10 days before the first trading day and will be re-started after 60 trading sessions.  After the conversion will be resumed, the conversion rate will be based on the average market price of the shares, according to the listing prospect.

editor@romania-insider.com