Fondul Proprietatea (FP), the biggest investment fund in Romania, recorded a net profit of RON 1.8 bln (EUR 367 mln) in the first half of this year, compared with losses of RON 849 mln in the same period of 2020.

The main contributors to the profit were the net unrealized gains from the fund’s investments in OMV Petrom (RON 244 mln) and Hidroelectrica (RON 910 mln).

Oil and gas group OMV Petrom (SNP), which is listed on the Bucharest Stock Exchange, recorded a share price increase of 17% in the first half of this year, while energy producer Hidroelectrica, which is not yet listed, recorded a significant increase in valuation due to solid revenue and profit growth in the first half.

The fund also recorded a gross dividend income of RON 655 mln in the first six months, mainly from its stakes in Hidroelectrica and OMV Petrom. However, the dividend income was significantly lower than in the first half of last year (RON 1.15 bln).

Fondul Proprietatea’s net asset value (NAV) per share increased by 13.8% in the first half of this year, while its shares offered a total return of 32.9% in the same period, including the gross special dividend of RON 0.072 per share.

The fund also boasts a historic milestone in H1 as the share price at the end of June surpassed its NAV per share, which means that the fund was trading at a premium for the first time since its listing on the Bucharest Stock Exchange in early 2011.

Fondul Proprietatea is managed by the American group Franklin Templeton.

andrei@romania-insider.com

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