The Ukrainian Exchange has been in a mode of only limited operations since Jun 18, with securities transactions being conducted via so-called addressed deals. Nevertheless, the Exchange decided to continue the calculation of the UX index, which will be determined on a once-a-day basis using bid and ask prices, according to the emergency methodology developed by the Index Committee. Trading on the Ukrainian Exchange, which is the primary platform for Kyiv-listed equities, was suspended indefinitely earlier this month due to a ban on the UX’s operating software after Ukraine’s National Security & Defense Council (RNBO) imposed sanctions against software produced in Russia.
The UX index lost 2.4% for the week to close at 1580 points. Indicative quotes for the index basket heavyweight CentrEnergo (CEEN) fell 3.7% to UAH 14.25 per share. The government said that the auction terms for privatization of the 78% state stake in CentrEnergo should be finalized by mid-July.
Raiffeisen Bank Aval (BAVL) fell 3.2% to close at 30.40 kopecks, with shareholders still waiting for an announcement of the ex-rights date for the hefty 6.90 kopeck-dividend per share from FY17 profit. UkrNafta (UNAF) continued to flirt with the UAH 100 support level amid little activity in the stock.
Motor Sich’s (MSICH) stock remained frozen on all platforms for nearly a second full month with no announcement on when circulation might be resumed. On Thursday (Jun 21), the company for the second time this year was unable to conduct a general shareholders meeting, as the National Depositary refused to provide the shareholders register due to the stock’s circulation freeze.
The hryvnia gained 0.3% for the week to close at 26.24 UAH/USD. Market players cheered Parliament’s vote in favor of the Law On Currency and Currency Operations which replaces the outdated legislation passed 25 years ago. The new bill is a landmark reform of currency regulation in the country. The most damaging current restrictions, for example, concerning investments abroad and foreign trade operations, will be lifted as soon as the Law enters into effect.
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