Trading in Kyiv-listed equities was almost entirely concentrated in the UNAF stock last week as UkrNafta (UNAF) declared a UAH 35.62 dividend per share from its FY18 profit. Quotes for the stock soared by 16% to UAH 305. The ex-rights date for the dividend distribution has not been set yet. UkrNafta conducted its annual shareholders meeting on May 18, and among other issues made a very controversial decision regarding its FY20 profit distribution. NaftoGaz, as UkrNafta’s majority shareholder, and the minority shareholders group related to Igor Kolomoyskiy, both voted to pay out nearly half of the company’s net profit of UAH 4.3bn directly to Ukraine’s national budget, without formally declaring a dividend payout. Therefore, in our understanding, minority shareholders will not receive any dividend from the company’s profit of last year, which is clearly a violation of shareholder rights.
In other local stocks, Raiffeisen Bank Aval (BAVL) bounced back by 7.0% to 46 kopecks after the bank set Jun 8 as the ex-rights date for its 3.31 kopecks per share dividend. On the downside, DonbasEnergo (DOEN) lost 12% to UAH 22.00. In second tier names, Krukiv Wagon (KVBZ) shed 1.4% to UAH 17.00.
In macroeconomic data, UkrStat reported that retail sales skyrocketed by 34% YoY in April as a result of the low comparison base with the same month a year ago, when strict quarantine restrictions were in place nationwide. In the January-April period, retail sales grew by 14% YoY.
On the London Stock Exchange, Ferrexpo (FXPO) corrected by 2.3% to GBp 463 from its multi-year high near GBp 480 of the previous week. MHP (MHPC) edged up by 0.6% to USD 4.85, remaining down by almost 20% YtD as the company’s financial results worsened this year; the company reported a 1Q EBITDA drop of 37% YoY.
In Warsaw, Kernel (KER) edged up by 1.3% to PLN 54.50 ahead of the company’s earnings release for the Jan-Mar quarter. Agroton (AGT) declined by 1.3% to PLN 6.12.
On the interbank currency exchange, the hryvnia gained 0.4% to 27.44 UAH/USD amid a general weakness of the dollar against other world currencies.
POLITICS AND ECONOMICS
- Zelenskiy-Klitschko Heavyweight Rivalry Heating Up in Kyiv
STOCKS IN THE NEWS
- MHP’s 1Q EBITDA Down 37% YoY to USD 57mn
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