Who says BVB has no emergent market potential? Gains up EUR 15.500 for small investors and EUR 1.4 billion for main shareholders from 2017 dividends

Nearly half of the companies listed on the Main Market of Bucharest Stock Exchange (BVB) have decided to pay dividends this year, a sum of money companies pay to their shareholders out of their profits or reserves. For 2017 alone, over 40 companies listed on BVB agreed to pay dividends worth a total amount of RON 7.23 billion or over EUR 1.55 billion.

Most of the money went to the main shareholders and institutional investors that received around EUR 1.4 billion (with most of the money going to the state, which is the main shareholders for all the state companies), while approximately 10 percent went to the small or medium investors that are active on the stock exchange every month. Depending on the amount of shares that every investor have, one could get over EUR 15,000 in dividends.

Romgaz, BRD and OMV Petrom are the companies paying the largest amounts as dividends, over RON 1 billion each. Overall, the first 20 companies offer dividends in excess of RON 7 billion, while 6 of them offer a two-digit dividend yield. The BVB issuer, a company listed on its own market since 2010, is among the first 20 companies according to the total value of dividends paid for the previous year, as it plans to distribute to its shareholders over RON 13,5 million, and has reported a dividend yield of 6 percent.

The highest value of dividends was paid by Romgaz, respectively RON 1.92 billion, followed by BRD Groupe Societe Generale with RON 1.142 billion and OMV Petrom with RON 1.132 billion. Banca Transilvania gave shareholders RON 610 million, Fondul Proprietatea RON 591 million and Transgaz RON 534.2 million.

ALRO Slatina gave RON 382 million, Nuclearelectrica RON 271.3 million and Electrica RON 245.3 million. TOp 10 is completed by Conpet with 69.6 million.

The first seven months concluded with a strong upward movement for BET-TR, the total return index including dividends of the local market, as it went past 11,600 points and grew by over 11 percent.

The total value of the financial instruments traded on BVB exceeded EUR 1.7 billion in the first seven months, slightly up from the same period last year. The average daily trading value for equities went below the threshold of EUR 10 million as investors slowed down their activity during the summer season.

The stock market capitalization of Romanian companies amounted to nearly EUR 20 billion at the end of the first seven months, while the capitalization of all listed companies on the Main Market of BVB exceeded EUR 35 billion.