Reports » Russia

Russian stock market daily morning report (March 20, 2013, Wednesday)

Contributed by Veles Capital

After the draft on introducing tax for deposits has been denied by the parliament of Cyprus, the situation remains tense. Today, at the meeting in Frankfurt, ECB might make a decision to stop supporting the banks of Cyprus. Than Russia is the only hope.


Main events

In order to solve the problem with excessive losses, IRNC North Caucasus will conduct another additional emission for 125.7 mn RUR.

Shareholders of IRNC North Caucasus approved increase of authorized capital of company by 3.24 times via placement of the additional emission of shares in the volume of 125.7 mn RUR, which we assume will make a negative effect on the shares of the network company.

Construction in EZ reduced 7.3% yoy, and demand of automobiles lost 10.5% yoy.

We assume the purchase of long-term use goods (property and automobiles) will be sliding further down and a long stagnation period will follow the reduction period. We relate that to the macroeconomic policy applied within the region.

BoD of NOVATEK recommended the shareholders to confirm the dividends in the volume of 3.86 RUR per common share.

Dividend yield relating the current quotes forms about 2.3%. The volume of dividends is no surprise and unlikely makes a significant impact on the company’s shares quotes.