The listing of minority stakes in state-owned companies can bring real benefits to the economy through significant revenues to the state budget, both through the sale of shares and through taxes on earnings and dividends, without the state losing control over the companies, the CFA Romania Association believes, in a point of view quoted by Agerpres. The additional listing of minority stakes in already listed companies, such as Hidroelectrica, Romgaz or Nuclearelectrica, can bring billions of lei to the budget, without the state losing its controlling position, the authors of the study claim.

The CFA Romania Association, an organization of investment professionals, has conducted and launched the study “Listing on the Bucharest Stock Exchange of Minority Stocks in State-Owned Companies”.

The study highlights that listing on the stock exchange leads to more transparency and good governance and better management of companies.

“Listing minority stakes brings more transparency, but does not lead to the loss of state decision-making control in companies. Reporting rules become stricter, ensuring more visibility over decisions and costs that become more difficult to influence politically. At the same time, listed companies tend to be more efficient and profitable, something validated by the results of the aforementioned study,” the organization says.

According to it, another important advantage is the development of the Romanian capital market. Through listing, more investors – including pension funds – can invest in these companies, which helps the economy grow and better capitalizes on the existing savings in the country.

“The listing of minority stakes in state-owned companies represents an opportunity for Romania to increase transparency and accountability in their management, as well as to attract investors, without losing control over the companies. The state will remain the majority shareholder and will continue to have decision-making control over their management. At the same time, this measure generates additional revenues for the budget and contributes to the development of the capital market in Romania,” said Adrian Codirlasu, president of the CFA Romania Association.

The study highlights, in the authors’ opinion, the fact that the listing of minority stakes generates budget revenues both through the sale of shares and through beneficial side effects: additional taxes and duties on capital gains and dividends, applicable to minority investors; direct amounts to the budget – the additional listing of minority stakes in already listed companies, such as Hidroelectrica, Romgaz or Nuclearelectrica, can bring billions of lei to the budget, without the state losing its controlling position; Privately managed pension funds – stable and active institutional investors – contribute to the development of the capital market and support the real economy through investments in shares of state-owned companies.