EAVEX Weekly

March 28, 2017

Ukraine’s IMF program was in the spotlight early last week after the Washington-based lender abruptly postponed its approval of the next loan tranche payout. The decision looked like a slap in the face to President Poroshenko over his surprising plan to impose an official blockade of the occupied Donbass territories, a move that could violate the Minsk peace agreement. The IMF said it needed time to evaluate consequences of the blockade on Ukraine’s economy. In important equity market news, Parliament approved a controversial law on the so-called “squeeze-out”, when a majority shareholder with a 95%+ stake has the right to purchase all the remaining free float. The UX added 3.5% to close at 968 points, with almost all of the gain coming from Raiffeisen Bank Aval (BAVL), which jumped 20% to 19.50 kopecks. The stock was lifted by an announcement of the bank’s intention to pay a dividend of 5.90 kopecks per share; the shareholder meeting to approve the payout is scheduled on Apr 25. At