Kyiv-listed stocks finished mixed last week, but the PFTS index saw a notable decline of 1.5% to 527 points as it was weighed down by a drop in UkrNafta shares. Quotes for the oil producer fell by almost 12% to UAH 140 after the State Fiscal Service (SFS) filed a lawsuit aiming to strip UAH 547mn from the company’s bank account. The SFS claimed that UkrNafta’s overall tax debt has increased from UAH 14.6bn to UAH 15.8bn (USD 630mn) this year despite the company reporting that it had paid UAH 7.6bn in taxes in 7M19.
On the upside, CentrEnergo (CEEN) added 1.1% to UAH 10.82 after a Kyiv court closed the 15-year old case related to the company’s possible bankruptcy. The court decision was long-awaited and should help to make CentrEnergo more attractive for privatization. Banking blue chip Raiffeisen Bank Aval (BAVL) remained unchanged at 30 kopecks on the nose.
In London trading, Ferrexpo (FXPO) extended its local downward move amid ongoing corporate governance concerns, falling 3.8% to GBp 204 per share. MHP (MHPC) also ended in the red, edging down by 0.6% to USD 9.78.
In Warsaw, Kernel (KER) slumped by 8.7% to PLN 44.70, the stock’s lowest level since September 2015. We assume that Kernel’s recent slide from its last local peak of PLN 54.00 reached in April has nothing to do with the company’s fundamentals, which look solid. Astarta (AST) shed 2.6% to PLN 22.40, ignoring the company’s surprisingly high net profit of PLN 5.39 per share for 1H19.
On the interbank currency market, the hryvnia gained 0.2% against the dollar to close at 25.12 UAH/USD.
POLITICS AND ECONOMICS
- Trump Administration Pushing Zelenskiy to Open Political Investigations
- Ukraine’s Current Account Deficit Improves to 0.3% of GDP in 1H19
STOCKS IN THE NEWS
- Astarta’s 1H Profit Declines by 19% YoY Despite 30% Rise in Revenue full report
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