Hidroelectrica shareholders approved the listing of the company on the Bucharest Stock Exchange

By rbj
According to a press release, today, March 31, 2022, Hidroelectrica shareholders approved EGMS Decision no. 3 triggering the admission to trading (“Listing”) of the shares issued by S.P.E.E.H. Hidroelectrica S.A. on the Bucharest Stock Exchange, as a result of a secondary public offering having as object shares of S.P.E.E.H. Hidroelectrica S.A. representing up to 19.94% of the total shares issued by the company, carried out by Fondul Proprietatea S.A.
“We welcome the decision of the shareholders to list Hidroelectrica on the stock exchange and we are fully prepared to carry out this decision. It is a natural step for a company of the size of Hidroelectrica, a new stage that we have been anticipating and waiting for a long time. We are convinced that listing will strengthen the company’s position and further transparency, and will also make a serious contribution to increasing the liquidity of BVB, with positive implications for the national economy.
I would like to emphasize that the listing opens up new opportunities, including for Romanians who want to buy and hold shares in one of the strongest companies with majority state capital “- said Bogdan Badea, President of Hidroelectrica.
Hidroelectrica is the largest producer of green energy in Romania and the main provider of technological services required in the National Energy System, being a vital company for a strategic sector, with implications for national security. The company operates a number of 209 plants, with a total installed capacity of 6,482 MW. To these is added the Crucea wind farm, with an installed capacity of 108 MW.
Fondul Proprietatea owns 20% of Hidroelectrica and the Romanian state, through the Ministry of Energy, owns 80%, but the Parliament introduced in 2020 a two-year ban on government sales of shares to state-owned companies, arguing that it is against the national interest because the pandemic stock prices could fall.
Hidroelectrica, which came out of insolvency in 2017, supplies almost 30% of Romania’s electricity, green energy, with the approximately 200 hydropower plants.
Fondul Proprietatea, which is run by investment manager Franklin Templeton, was set up as a fund to compensate Romanians for assets confiscated during communism and holds minority stakes in a number of state-owned companies.
Fondul Proprietatea has a value of 3.1 billion dollars, and its participation in Hidroelectrica represents more than half of the total, with a value of 1.97 billion dollars.