Although the bourse debut of Trace Group hold is still to happen, the company’s appearance is already having a tangible effect.
Let’s leave aside the October 26 IPO. We are curious to find out if the appearance of a company with an open type of management (the prospectus contains detailed information on its activity, projects, and financial results and prognoses) will influence corporate management practices of construction and infrastructural companies listed on BSE.
Trace Group Hold and Holding Patishta are in direct competition for investors’ confidence and attention. Till now the public received information about Holding Patishta only via its quarterly reports, and occasionally through announcements from some of the subsidiaries.
These days, however, the company is releasing new data much more often. Is it a coincidence that this practice started just days before Trace Group Hold’s BSE debut?
It became clear that Holding Patishta’s majority shareholders will not sell their stakes, then the number of investors in the company was also announced. Then it was announced that the holding is expanding its activity by acquiring Strabag Bulgaria and a few other construction companies, and new IPOs from the holding’s portfolio are also being prepared.
The holding also announced plans to implement infrastructural projects worth 1 bln leva each year. The management also said they wished that their shares would become part of the calculation of BSE’s official indexes. A 1/25 split and a new capital increase is to happen before that, the company said.
As a result, shares rose from 24 447.33 leva on September 27 to 39,000 leva. The stock also hit the record 48,000 leva/share.