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SOFIX ends losing run, Svilosa shares gain 4.26% after ban of buyout bid publication

Author Mario Tanev
SOFIX ends losing run, Svilosa shares gain 4.26% after ban of buyout bid publication hxdbzxy/

SOFIA (Bulgaria), November 8 (SeeNews) - The benchmark SOFIX index of the Bulgarian Stock Exchange ended a three-day losing streak, closing 0.40% higher at 595.0 points on Thursday, backed by a 3.15% rise in shares in First Investment Bank [BUL:5F4].

Cellulose producer Svilosa [BUL:3MZ] was among the major gainers on Thursday, as its shares rose 4.26% to 4.9 levs, after a decision from the financial regulator to temporarily ban the publication of a buyout offer by A.R.U.S. Holding for a minority stake in the company, priced at 4.7 levs per share.

The regulator did not provide the reason for its decision to ban the publication of the offer targeting 2,139,070 Svilosa shares, equal to a 6.47% stake.

The biggest decliner on Thursday was insulation materials producer Hydroizomat [BUL:4HI], which ended 9.56% lower at 1.23 levs, as investors await the shareholders vote on whether to delist the company from the bourse. Hydroizomat shareholders will meet on November 28 to put the proposal to a vote.

Last month, Bulgarian diversified group Industrial Holding Doverie acquired 79,966 shares in Hydroizomat, equal to a 2.67% stake, via a buyout bid priced at 1.43 levs ($0.84/0.73 euro) per share, increasing its stake to 93.31%.

Among blue-chip gainers, Fibank was followed by financial and insurance group Eurohold Bulgaria [BUL:4EH] and battery maker Monbat [BUL:5MB], which added 2.20% and 2.13%, respectively.

Diversified group Stara Planina Hold [BUL:5SR] was the only decliner among BSE's 15 blue chips, losing 1.49% to 6.6 levs.

The wider BGBX40 index, which tracks the 40 most traded shares on the Sofia bourse, ended a 5-day losing run, gaining 0.38% to 116.62 points on Thursday. Lavender oil and cosmetics producer Lavena [BUL:4L4] gained most among BGBX40 constituents - 4.86%, followed by Svilosa and First Investment Bank.

The BGREIT index, which tracks the performance of real estate investment trusts (REITs), closed the session unchanged at 117.47 points, some 0.89% away from an all-time high.

The BGTR30 index, in which companies with a free float of at least 10% have equal weight, closed 0.31% higher at 496.44 points, snapping a seven-day losing run, as First Investment Bank gained most among its constituents.

Total trading turnover on the BSE regulated market fell sharply to 383,000 levs ($224,000/196,000 euro) on Thursday from 1.05 million levs on Wednesday.

Trade in shares in software developer Sirma Group Holding [BUL:SKK] formed over 39% of the daily regulated market turnover, as some 174,000 shares in the company changed hands in 30 deals.

(1 euro = 1.95583 levs)