There have been no transactions with the stocks of 87 companies on BSE so far this year, Profit.bg found out.

There are a total of 394 companies listed on the Bulgarian Stock Exchange, which means that 22.08% of the companies have not been traded this year.

These non-liquid companies are mainly business in the process of filing insolvency or liquidation. A few have been listed recently.

In its 2007 report BSE stated that one of its main objectives this year will be to encourage trade with the low liquid companies. The bourse undertakes to introduce changes in its regulations and requirements to companies. The institution will consider adopting amendments to the listing criteria for the lower segment of the Unofficial Market of Equities, as well as introducing an option for delisting of those issuers which do not meet the requirements.

Nikolay Mitankin, Stara Planina investor relations director, said such statistics may prompt the question “Why should such companies be public?”. But in his opinion this question is unnecessary.

In his words “Each company assesses the situation from its own point of view. The most important thing is to create an environment in which all companies are treated equally and to gain back the trust of institutional investors.”

Krasimir Angelov, portfolio manager, Elana Trading, said the statistics is not surprising as the Bulgarian Stock Exchange was set up in a time dominated by the mass privatization.

He said the protection of the rights of minor shareholders is crucial in the cases of operating companies. In the other cases we just have dying business, he added.