The Zagreb Stock Exchange held an award ceremony for issuers and member firms regarding their contributions and results in 2019. After being named as the Member of the Year on the Ljubljana Stock Exchange couple of days earlier, InterCapital was yesterday also able to secure the Member of the Year title on the Zagreb Stock Exchange as well. Such an award comes on the back of leading equity market share, research activities, multiple organized investor conferences and contribution of market making mandates.
Regarding the latter, InterCapital has been the market maker of choice for most major Croatian companies listed on the Zagreb Stock Exchange. Currently we provide these services for 8 Croatian issuers: AD Plastik, Adris Group (regular & preferred), Arena Hospitality Group, Atlantic Grupa, HT, Končar-Elektroindustrija, Podravka and Valamar. Through this service, InterCapital aims to increase the liquidity and lower the spread in all in order to improve trading efficiency for both retail and institutional investors.
In addition, the achievement comes as a result of our continuous investments into fully independent research team and securities promotion platform with the aim to provide our clients a comprehensive, in-depth and forward-looking coverage of the most quality investment ideas in the region. Our research team has one of the largest coverages in Croatia, currently covering 11 Croatian issuers: AD Plastik, Adris Group, Arena Hospitality, Atlantic Grupa, Croatia Osiguranje, Ericsson NT, HT, Končar-Elektroindustrija, Maistra, Podravka, and Valamar.
We would like to state that it is a great honor to receive the Member of the Year award at the Zagreb Stock Exchange for the eight-consecutive time. For many years InterCapital has been the leading member of the Zagreb Stock Exchange and we are extremely proud that this year our expertise and quality of service were recognized once again.
We firmly believe that this award confirms the validity of our strategy of constant promotion of the Croatian capital market and the dedication of all our employees. In the coming years, we will continue to develop our services and be the pioneer of innovation in the regional market in line with global best practices, thriving to introduce them to domestic and foreign investors.
Last but not least, we would like to note that this recognition could not be achieved without our clients and partners and hence we thank all of you for your continuous support and trust. We are very proud to be the leading broker in Croatia and Slovenia and are looking forward to the challenges and opportunities that lie ahead in the following years.
Petrol’s shareholders voted during yesterday’s General Shareholders Meeting and decided to appoint a special auditor tasked with verifying the handling of certain transactions made by Petrol in the period from 1 January 2015 to 24 October 2019.
After recent turmoil which surrounded the company caused by the Supervisory Board’s decision to terminate the mandate of several Board Members, Petrol’s shareholders held a General Meeting during which they request additional clarification from the Supervisory Board regarding their decision. During the meeting the Chairman of the Supervisory Board stated that the reason behind their decision was the Board’s proposal related to investments and debt which significantly departed from the adopted strategy. Namely, the proposed volume of investment was twice as high as the initially projected amount of EUR 521m, while the envisaged debt amounted to EUR 900m.
Furthermore, the company’s shareholders also approved the appointment of a special auditor tasked with verifying the handling of certain transactions made by Petrol in the period from 1 January 2015 to 24 October 2019. All following transactions whose value exceeds EUR 1m will be subjected to the special audit:
• transactions related to the acquisition of long-term financial investments,
• transactions related to the disposal of long-term financial investments,
• transactions related to other types of investment other than transactions having to do with investments in the energy renovation of public buildings carried out in cooperation with municipalities and financed using cohesion funds,
• transactions related to sponsorship agreements.
Trading statistics for November 2019 show an average daily turnover of EUR 2.4m (+43% YoY).
The Ljubljana Stock Exchange (LJSE) published their trading statistics for November 2019, showing a total equity turnover of EUR 48.5m. This translates to an average daily turnover of EUR 2.4m (+43% YoY).
Of the total traded value traded in the period (excluding block transactions), Krka generated 53.8%, followed by NLB with 12%, Petrol with 7.1%, Telekom Slovenije with 6.6%, Triglav with 6%. These 5 shares generated 85.5% of the turnover recorded by the entire (equity) market, excluding block transactions.
When observing the total equity market capitalization, it amounts to EUR 6.72bn. Krka’s share is the biggest constituent of the total exchange’s equity market capitalization, accounting for about 34.1% of the total value. Next, comes NLB with 16.5%. Further, Triglav holds 11.2% while Petrol accounts for 11.1% of the total market capitalization value.
Average Daily Turnover (Jan – Nov 2019) (EUR m)
On a more personal note we would also like to add that in November InterCapital brokerage services recorded EUR 47.9m in equity turnover which makes us the number one broker on the Slovenian market in November. Furthermore, when looking at the entire year InterCapital is also the number one broker in Slovenia with a total turnover of EUR 124.7m and a market share of 24%. Considering that this is our third year as a full member of the Stock Exchange we take enormous pride in our achievement and will continue providing our clients with top notch services in order to retain our current position in the market.
In November 2019, GWPs rose by 7% compared to last year. GWPs in non-life insurances grew 11.5% YoY, while life insurance decreased -2.6% YoY.
In October 2019, GWP’s rose by 7% compared to the same period last year. The total amount of GWPs collected reached HRK 9.9bn (includes insurers located in Croatia and insurers operating in Croatia but based in another EU country).
Total Croatian T12 GWP and Croatia Osiguranje T12 GWP (HRK bn)
The amount of GWPs in non-life insurances, which traditionally account for the biggest portion, grew 11.5% YoY, amounting to HRK 7bn. Meanwhile, life insurance continued its downward trend as the segment realized a decrease of -2.6% YoY to HRK 2.8bn.
Croatia Osiguranje accounted for 26% of the market, however this number represents a decrease of 2.4 p.p. when compared to November of 2018.