BURSA 14.02.2017

ADINA ARDELEANU (translated by Cosmin Ghidoveanu)
mărește imaginea
     * EximBank hopes that "business will continue with a more solid foundation"
     * BCR, Banca Transilvania, Piraeus Bank and Banca Feroviară do not comment on the situation
     * Some sources say that EximBank has filed a lawsuit against the company that appraised the Romcab inventory which Eximbank accepted as collateral, because the bank found said inventory did not exist
     * Teraplast has to set up a provision of 200,000 Euros, but will continue its collaboration with Romcab, and Prodplast pares down its contractual relationships with the cable maker
     * On January 27th, Roxana Tarcă has reached a stake of 46.7% of "Sadalbari", while Zoltan Prosszer is only left with 9.35%
       The request by "Romcab" (MCAB) to enter insolvency, submitted on Friday and reported yesterday to the Bucharest Stock Exchange (BVB), is causing anxiety among Romanian banks, considering that many of them have exposure to that company, as the loans have been guaranteed with inventory or machinery.
     After the first nine months of 2016, Romcab reported total debts of 940.94 million lei, of which 74.65 million lei long term (down 9.01% YOY compared to 2015), and 866.29 million lei short term (up 27.59% YOY compared to 2015). Out of the total short term debt volume, commercial debt rose 43.76% in the first nine months of 2016, to 509.34 million lei, whereas loans amounted to 341.22 million lei. Long terms loans stood at 13 million lei, on September 30th, 2016.
     One of the institutions that could have problems is state-owned EximBank, which funded in 2012 the new Romcab factory of Acățari, in the county of Mureș, as part of a project co-financed through the European Regional Development Fund. At the time, EximBank granted the company a mix of lending products of approximately 200 million lei.
     In 2012, Călin Popescu Tăriceanu was also present at the inauguration of the plant, and he made the following statement, according to "I admire the entrepreneurial spirit of main shareholder Zoltan Prosszer, whom I have known for many years, and whom I now see moving to another level, making this investment to expand Romcab, a company which has a long tradition in Târgu-Mureș".
     On June 30, 2015, the balance of the loan facilities granted by EximBank was 102.3 million lei, according to the prospectus by which Romcab went from the Rasdaq market, to the regulated market of the Bucharest Stock Exchange.
     According to the same document, EximBank had guaranteed 80% of the company's loans taken out from other banks.
     The representatives of EximBank gave us the following statement yesterday: "EximBank will act in accordance with the legal provisions in effect and we express our confidence that the chances of the process of reorganization of the company being successfully completed will be maximized and that the optimal solutions will be tried in order to witness a continuation of business on a more solid basis".
     Some sources also claim that EximBank has another exposure of 60 million lei to Romcab, this time in its own name, and of approximately 20 million lei, in the name and on behalf of the state. Thus the insolvency of Romcab could put the state-owned bank in the red, according to some opinions in the market.
     It would seem that the bank's mistake was to accept the Romcab inventory as collateral, based on an appraisal conducted by an independent company. Market sources are saying that when the officials of the bank wanted to check the inventory, they found it didn't exist, which even led to a criminal complaint being filed against the evaluator.
     On September 30, 2016, Romcab had reported an inventory of 629.62 million lei, up 41.13% YOY compared to 2015.
     The insolvency of Romcab doesn't bode well for the International Investment Bank (IIB) either - a multilateral development bank which, in 2015, granted the cable maker a 3-year 15 million Euros loan, to finance its main activities, especially for the acquisition of raw materials from various producers, including from other countries that are members of the bank.
     By the time the newspaper had gone to the printers, the representative of the IIB had not offered us an opinion on the insolvency of Romcab.
     According to the Romcab prospectus, Banca Transilvania had an exposure to Romcab of approximately 200 million lei in investment loans and other credit facilities. BT Leasing had also granted the company 3.27 million Euros in financing.
     The representatives of Banca Transilvania declined to comment on the matter. In the market, investors don't seem too concerned over the effects of the Romcab insolvency on the bank.
     BCR, Piraeus Bank or Banca Feroviară declined to send us their opinions on the effects of the insolvency of the cable maker.
     On other hand, "Prodplast" and "Teraplast", listed on the BSE, felt the need to reassure their investors.
     "Prodplast" yesterday announced that it was paring down its contractual relations with Romcab Târgu Mureș, as a result of the latter declaring its insolvency: "We want to mention that the debt that Romcab owes our company is entirely insured through an international business credit insurance policy, and the claim has already been submitted for resolution".
     "Teraplast" representatives have also announced the following: "Teraplast, the biggest Romanian PVC processor, wants to make it clear that Romcab entering insolvency does not significantly affect the company's business.
     Teraplast is a supplier of granules for Romcab. According to internal estimates, Teraplast will have to set up a provision of approximately 200,000 Euros for the receivables pertaining to Romcab. That amount represents approximately 0.1% of the amount of the Romcab debt, according to the financial results published by the Târgu Mureș-based company.
     Teraplast applies prudential rules, which means that since 2015 the receivables of the granules business line are insured with a strong insurance company (with an A3 Moody's rating).
     5 years ago Teraplast created a credit bureau, similar to that of banks, which tracks closely every customer, and the credit limits are granted after a careful analysis of the financial ratios. Recouping the receivables is the basic rule for every sale made by Teraplast. We hope that Romcab will find solutions to continue its activity despite the problems it is facing.
     Teraplast will continue its cooperation with Romcab as the geographical proximity and the quality of our products is mutually advantageous".
     MCAB shares had significant drops in the beginning of this year, amid information that the company had defaulted on some payments, followed by a subsequent rise, after the company offered explanations. The MCAB shares yesterday reached 4.21 lei/share, after a drop of -43.26%, in the last month, according to data from the BSE. The stock had another drop of 14.96%, to 3.58 lei/share, after the announcement of its filing for insolvency was posted on the BSE platform.
     Some sources claim that, when guaranteed promissory notes aren't paid, as was the case with Romcab, the Police usually refers the matter to itself. The representatives of the police have been unable to provide such information, for now.
     The representatives of "Romcab" have sent the following report to the Bucharest Stock Exchange: "Following the exhaustion of any other alternatives to surmount the difficult period that we are going through, as we have presented them in our press release of January 22nd, 2017, we hereby inform you about our intention to initiate the judicial reorganization procedure, as we have found it to be the solution for the efficient and effective turnaround of the activity of «Romcab». To that end, we have filed on February 10th, 2017 a request to enter insolvency, together with the firm intention to turn our activity around through a reorganization plan, which the County Court of Mureș will rule on".
     Zoltan Prosszer, the president of the company, had previously stated that some creditors had "run out of patience" and had initiated the foreclosure, for substantial amounts.
     Mr. Prosszer also told us that the bonds issue of 200 million Euros, which the shareholders have approved will be postponed: "The bonds issue has been put on hold, we have reconfirmed that just half an hour ago, they need (ed. note: investors) a stable situation, a voted reorganization plan, maybe some ratings from ratings firms, aside from the previous situation and we are moving forward".
     "Romcab" produces cables, electrical conductors, power cords and electrical cabling. The company is controlled by "Sadalbari" Târgu Mureș, with a stake of 69.02%.
     On January 27th, Zoltan Prosszer assigned to Roxana Tarcă (the representative of the investor relations department of Romcab) 35 of the 45 shares owned in "Sadalbari". This increased Roxana Tarcă's stake in "Sadalbari" to 46.7%, while Zoltan Prosszer was only left with 9.35%. The "Sadalbari" shareholder structure includes Rodica Dochițoiu (with 37.38%) and Amberyce Limited (with 6.54%), according to data from the Official Gazette. 

Readers' comments    [ add a comment ] 
Trimite părerea ta.
Nume (maxim 50 caractere)
E-mail (optional)
Titlu (maxim 50 caractere)
Prin trimiterea opiniei ne confirmați că ați citit regulamentul de mai sus și că vă asumați prevederile sale !
Aceeasi sectiune (English Section)
Calendarul BURSA 2018
Ediții precedente
Newsletter Facebook Twitter YouTube LinkedIn RSS
Jurnal Bursier
     * Creșteri pe linie pentru toți indicii bursei
     Volumul consemant în ședința de tranzacționare de vineri a Bursei de Valori București (BVB) a fost de numai 17,7 milioane de lei (3,8 milioane de...  click să citești tot articolul
     Bursele din Europa au scăzut vineri, oprindu-se din avansul generat joi de anunțul Băncii Centrale Europene (BCE) privind încheierea, anul acesta, a programului de achiziții de obligațiuni. Cele...  click să citești tot articolul
     Bursele din Europa au urmat un curs ascendent ieri, după ce Banca Centrală Europeană (BCE) a anunțat că va menține dobânzile la un nivel scăzut încă un an.  click să citești tot articolul
     * Salt de 12,44% pentru SIF Moldova, ca urmare a aprobării programului de răscumpărare de acțiuni la un preț cu mult peste cel din piață
     Volumul consemnat în ședința de tranzacționare de la...  click să citești tot articolul
     Bursele din Europa s-au înscris pe un curs pozitiv ieri, investitorii așteptând decizia de după reuniunea de politică monetară a Federal Reserve din SUA (Fed), care a avut loc în zilele de 12-13...  click să citești tot articolul
     * Volum de doar 27 milioane de lei, jumătate din valoarea medie a anului
     Piața principală a Bursei de Valori București (BVB) a încheiat cea de-a doua zi de tranzacționare a săptămânii în...  click să citești tot articolul
Cotații Internaționale

Curs Valutar

Curs valabil din data de 15 iunie 2018
1 Dolar australian...
1 Leva bulgărească...
1 Dolar canadian....
1 Franc elvețian...
1 Coroană cehă...
1 Coroană daneză...
1 Liră egipteană...
1 Euro...
1 Liră sterlină...
100 Forinți maghiari...
100 Yeni japonezi...
1 Leu moldovenesc...
1 Coroană norvegiană...
1 Zlot polonez...
1 Rublă rusească...
1 Coroană suedeză...
1 Liră turcească...
1 Dolar S.U.A...
1 Rand sud-african...
1 Real brazilian...
1 Renminbi chinezesc...
1 Rupie indiană...
100 Woni sud-coreeni...
1 Peso mexican...
1 Dolar neo-zeelandez...
1 Dinar sărbesc...
1 Hryvna ucraineană...
1 Dirham emirate arabe...
1 Kuna croată...
1 Bahtul thailandez...
1 Gram aur...
1 DST...
click aici pentru cursurile pieței valutare - istoric
English Section
     The reunion scheduled today between Donald Trump and Kim Jong-un is taking place in Singapore due to the relative neutrality and the security this city-state provides. Singapore is one of the few countries that still hosts a North-Korean embassy, and many of the deals of the Kim regime were conducted here, according to the foreign press.  click here to read the entire article
     "It is a good thing that the public doesn't understand the functioning of our banking and monetary system, because otherwise I think there would be a revolution in the streets by dawn".
     HENRY FORD, founder of the American automotive industry

     Fed up with subsidizing the commercial banks with their own money, the Swiss, mobilized through the "Sovereign Money" initiative, have proposed the organization of a Referendum which will be held on Sunday, June 10th 2018 - is a historical referendum, revolutionary for the banking industry, of international resonance -, by which the initiators want to amend the Constitution, which would impose to the commercial banks to grant loans only within the limits of the bank's money, forbidding them to issue scrip money and ensuring the monopoly of the Confederation (of the Swiss state) on issuance of money free of debt.  click here to read the entire article
     The "pension apocalypse is coming"! The more or less qualified keep talking in the written press, TV and on the radio. The uncertainty is being preserved - deliberately by some, by the government members out of pure stupidity!  click here to read the entire article
     Where there are many entrepreneurs there is creation, where there are many women entrepreneurs there is divine creation, says Gabriela Mihaela Voicilă, state secretary in the Ministry for the Business Environment, Trade and Entrepreneurship (MMACA). In her opinion, entrepreneurship means joy, a better situation, but less time for the family: "Taken together, entrepreneurship means achievements (...) Every one of us needs validation, for having built, having created something".  click here to read the entire article
     * Piperea: "In the Andriciuc case, the EU Court of Justice has not limited its argumentation to the CHF, but expanded it to cover any currency for which the debtors weren't hedged"
     The courts in the country have begun ruling in favor of borrowers and freezing the value of the European currency at the exchange rate valid on the date the loans were originated, in the lawsuits brought against the banks.  click here to read the entire article
     The urge "Mircea, act like you're working!", back in the days of the so-called revolution of December 1989, was brought back recently by a new "director".
     We are talking of course, about the meeting between NBR governor Mugur Isărescu, and a government "delegation" led by chamber of deputies chairman Liviu Dragnea, together with PM Viorica Dăncilă.
     Sources from within the PSD, quoted by, have claimed that, "in the meeting with the NBR governor, Liviu Dragnea seemed to be looking for a way out, and he seems confused, as he didn't expect his decisions to lead to such effects in the economy".  click here to read the entire article
     Liviu Dragnea's insistence in moving the Romanian embassy from Tel Aviv, to Jerusalem, feeds an older, widespread confusion. Much older. Politically, Jerusalem has been divided from the first presence of the Judeans on the lands of the Palestinians, since back in the days of Abraham and Abimelec. "The indivisible Jerusalem" wanted by Benjamin Netanyahu is a spiritual creation.
     Definitely, pilgrims and locals claim that Jerusalem has a geography, meaning that the city would be compatible with the cardinal points and that is why Palestinians, Israelis and people overall, including those of the UN, EU and the US, speak about Eastern Jerusalem and Western Jerusalem, without anybody being surprised that that is happening at the center of the world, where the god of the Judeans began his creation, starting from the very rock from which later Archangel Gabriel raised Mohammed to visit Heaven, the same place of origin where one of the seven angels "and showed me the Holy City, Jerusalem, coming down out of heaven from God." (Apocalypse, 21: 10), where God is one of the same.  click here to read the entire article
     Financial fair play is a concept that comes from the world of soccer. The notion is simple, don't spend more than you earn in a month, or in a year, regardless of what shareholder, mogul or investor enters the business.  click here to read the entire article
     President Klaus Iohannis has announced that he has decided to send to the Constitutional Court the laws on the judicial system, but also to the Venice Commission. The president has issued a call to the CCR not to hurry and to work with the European entity, saying that after the Constitutional Court gets to issue an opinion on the new laws, a new analysis of the laws will be conducted and it will be decided then if a new reexamination of the three laws in the Parliament will be needed.  click here to read the entire article
     The dystopia of 2169 seems to be 151 years away from us, if we were to watch the American sci-fi movie "In Time", in which New Zealand screenwriter, director and producer New Zealand Andrew M. Niccol has imagined a world in which money has been replaced by the lifespan left and each individual over 25 years old (when they stop aging), are wearing a counter on their arm, displaying how much they have left to live; the economic system relies on transactions paid in lifespan - banks, loans, interest rates - the rich are storing billions of years, while the poor only have hours, minutes or seconds left and when their time is up they die suddenly, as if struck by a mace.  click here to read the entire article
     * Bogdan Chirițoiu: "The European Commission will force the future buyer of Sidex Galați to increase the output of steel"
     ArcelorMittal may only sell the Galați metallurgic plant with the explicit agreement of the Romanian state, and the European Commission will ensure that the output of the plant will increase after the transaction, deputy prime-minister Viorel Ștefan said yesterday, in a conference on the issue of major industrial energy consumers.  click here to read the entire article
     * "Iliescu on trial for all the bloodshed!" was one of the powerful slogans of the University Square, as well as "Iliescu - KGB, go back to the USSR!".
     We, who had organized the marathon protest of the century, knew who Ion Iliescu was, as the rest of the Romanian people took a long time to catch on, even Brucan was wrong in his estimate that the much maligned "stupid people" would take two decades to "awake".  click here to read the entire article
     * - The Syrian gas attack did not exist, the American missiles were brought down, then where are the dead coming from?!
     * - It is enough to tell Syrians that they are attacked and killing each other?
     Friday, Syria was attacked by war attacks, in which a warship of the United Nations which operate in the Red Sea (according to the American officials), American B-1 bombers, four British Royal Tornado GR4 aircraft (which fired Storm Shadow missiles) and French Rafale jets.  click here to read the entire article
     New Delhi, March 4th, 2017 - I am in the garden of the Royal Plaza hotel, sitting next to the table of a group of Indians, probably Hindus, two women in colorful saris and two men, all of them in their fifties. They are checking me out, I catch them doing it a few times. A Romanian manea, with heavy Indian influences starts playing from the speakers, I am surprised, I start laughing.  click here to read the entire article
     The Romanian Commercial Bank (BCR) has proposed to shareholders the distribution of dividends of 228.12 million lei, out of the profit of 570 million lei, for last year, this being the first year with such an item on the agenda of the General Shareholder Meeting, after the huge loss of 2014, of 2.6 billion lei, caused by the high provisions and the sale of non-performing loans.  click here to read the entire article