The reverse repo deal on purchasing of 1,977 preferred stocks (or 0.01% of authorized capital) of Uzbektelecom (94.32% is owned by the State Property Committee) was held at UzSE. Larger stock holding was acquired in a repo deal on Uzkurilishashesavdo (Uzbek construction materials trading) securities.

In this deal 532,420 common stocks (25.09% of authorized capital of the issuer) were involved. If we look at the trade history Uzkurilishashesavdo stocks (major stockholders are Keramzitobeton Ltd. (50%) and JSC Uzulgurjisavdo (25%), which were trading since February of the last year, investors began to practice repo deals on stocks of this issuer for the last three months.

Tendency of quotes fall on all securities, observed on previous day, continued. The largest fall was registered on preferred stocks of Uzbektelecom (-50%). Perhaps, such significant fall was caused by the reverse repo deal held on these securities. Common stocks of Yoggar and Kashkadaryo parmalash ishlari fell by a fourth.

Investor purchased only one stock of Yoggar (the issuer has 60,575 issued stocks). It can be supposed that investors are trying to systematically reduce share price of this issuer. The fall could have been larger, if there were no rules at the UzSE on maximum possible price change (+/- 25%) in a day.

The better results were shown by common stocks of Termiz parranda (Termez poultry factory), which had a growth of 24.15%. While acquiring 5.18% of the company, local investor paid 24.15% more than the price at previous trading session on these securities. The purchasing of 1.50% of Vzryvprom (Industrial explosion) can be considered as another largest acquisition. Though securities of the banks were not traded, total trade turnover exceeded US$100,000 and made, according to the results of the day, US$139,000.

In total turnover for the day leading positions were occupied by those industries, in representatives of which investors purchased significant holdings. As a result of repo deal on stocks of Uzkurilishashesavdo, the stock exchange turnover rose by US$127,600. This deal made 91.44% of total trade turnover of the day. Industry of food producers took the second place, whose share made 6.75% of total trade turnover.

Source: Essential Investments