Iran Fara Bourse Hosted Pegah Dairy
– Today, 12,000,000 shares of Pegah-e Golpayegan Dairy, with the ticker PGPZ1, were initially offered in the second market of Iran Fara Bourse via Book Building. Orders were registered within 2 hours at prices ranging from IRR 9,000 to IRR 9,900. Each investor was allowed to purchase 300 shares at most; eventually, each was allocated with 154 shares. Pegah-e Yavaran Omid Brokerage, as the underwriter, is committed to purchase 6,000,000 shares.
– With the net Islamic Treasury Bills worth IRR 25,000 bn in the current year, many shareholders had the idea that this significant rise in the debt market volume has slowed down the capital market growth, moving it towards recession; it is so while this outstanding ITB barely accounts for 1% of Iran’s capital market cap. This group of investors assumes that the interesting yield rate of such bills has caused the undesirable return in the stock market, pushing investors to this sector as a safe haven. In a step to clarify this ambiguity, an official announced that in 2016/17, the government released bonds worth IRR 50,000 bn while IRR 40,000bn of the previously released bonds in 2015/16 had been already settled and another IRR 10,000 bn will also be cleared until the end of the current year; besides, the government, in fact, is allowed to issue ITB worth up to IRR 75000 bn. This official also stressed on the importance of securitizing the government debts, which itself calls for a detailed plan for their settlement.
– According to an official in the Privatization Organization of Iran, over April 2016-January 2017, governmental shares worth IRR 18,462 bn have been offered via Tehran Stock Exchange, Iran Fara Bourse and auctions; of this figure, shares worth IRR 2,278 bn were offered via the TSE, IRR 522 bn were sold through the IFB and IRR 15,662 bn were offered in auctions. Of the offered governmental shares worth IRR 18,462 bn, shares valued IRR 17,918 bn were offered in block trades.
Behnoush-e Iran, in the Food and Beverages space, is to raise its capital by 200% to reach from IRR 240 bn to IRR 720 bn, based on shareholders’ paid-in capital and claims due.
In the Market
Enjoying advanced equipment, Charkheshgar has been heard to enter into a contract with ZF Friedrich to export 40% of its products to Germany. Iran Khodro production report, over December-January, has brought hopes for the future of this share. Most tickers in the Automotive industry went through positive trades with Charkheshgar, Iran Tractor Forging and Nasir Machine Engineering facing buy queues. 11 mn shares of Saipa Group were also block traded in the retail market.
It seems that the halted tickers in the Banking space will be reopened soon. Among such names, the highest capital raise will belong to Bank Melli with IRR 93,000 and the least capital raise will be done in Bank Tose’e Ta’avon with IRR 1,000 bn. Bank Sina has been heard to be planning to sell a number of its commercial units through auctions. Eventually, at the end of the session, Bank Mellat ticker was reopened 40% lower, which dragged the all-share index down by 900 points.
The majority of names in the Construction group were positively traded, following the recently started trend with Kerman Province Civil and Development Investment, Shahed Civil and Development and Tehran Housing Investment facing buy queues.
In line with today’s IPO, most symbols in the Food and Beverage sector also witnessed positive trades with Pegah-e Esfahan Dairy and Pegah-e Khorasan Dairy finishing with buy queues.
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