Among Ukrainian companies listed on foreign exchanges, Milkiland (MLK) market capitalization continued to rise sharply. Over the week, the company’s stock jumped by 27% to PLN 1.39, giving it a market capitalization of USD 11mn. Since the beginning of June, Milkiland’s stock price has doubled, possibly indicating an imminent corporate event driving this rapid increase. Currently, no public news justifies such a surge in the company’s shares.
Shares of the gas extraction company Enwell Energy (formerly known as Regal Petroleum) surged by 20% to GBp 19.3 (MCap of USD 78mn). This market reaction followed news that Ukraine’s State Geological Service lifted the suspension of Enwell Energy’s licenses for two of its fields in Ukraine.
In contrast, major Ukrainian listed agro companies suffered a decline. In London trading, MHP (MHPC) decreased by 4.5% to USD 3.43 (MCap of USD 367mn) and in Warsaw, grain exporter Kernel (KER) slipped by 1.5% to PLN 12.12 (MCap of USD 885mn).
Ukrainian agro names were partly hit after the Economic Ministry said that about 40% of the Ukrainian economy is “in the shadows” and this also applies to the agricultural sector and the export of agricultural products. The recent laws signed by President Volodymyr Zelenskiy, aimed at combating “black grain” and non-return of foreign currency earnings to the country. Earlier it became known that the Bureau of Economic Security is investigating several criminal proceedings related to “gray” grain exports. According to law enforcement officers, the most common scheme of such tax evasion for tens of millions of hryvnia is the purchase of grain with no documents of origin for cash and its further export abroad using the details of “risky” or shell companies.
POLITICS AND ECONOMICS
- Ukraine’s Sovereign External Debt Has Risen by USD 8bn YTD, Reaching USD 103bn. The Domestic Debt Stands at USD 40bn
full reportThe National Bank of Ukraine has opened a special fundraising account to support the Armed Forces of Ukraine. Please find more at the National Bank’s official website under the link below:
www.bank.gov.ua
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