Hidroelectrica should not be listed during the insolvency period, Bucharest Stock Exchange CEO, Ludwik Sobolewski, told energynomics.ro.
The idea of privatizing the state owned company during the insolvency period was launched this week by the company’s special manager, Remus Borza. „I see Hidroelectrica listed next year. We will try an arrogant move: to list it while in insolvency, until May next year”, Borza said.
„A lot of things are possible but that doesn`t mean that they should be done. Hidroelectrica should get out of insolvency before being listed and the management should focus on accelerating this process. An IPO during insolvency would only create problems”, said Sobolewski.
Hidroelectrica`s IPO (initial public offering) should see about 15% listed, and if listed with a big discount due to insolvency, that may influence the future pricing of the share, besides its present value.
At the same time, the minority shareholder with 20% stake in Hidroelectrica, Fondul Proprietatea, would oppose such a move as listing during the insolvency, sources say.
The company ended the first five months with a profit of 625 million lei, 150 million more than the outcome of the similar period of 2014. The production surged to 8.3 Twh, about 1.1 Twh more than the previous period.
