EAVEX Weekly

March 25, 2019

Ukrainian stocks continued to show a mixed performance last week, with corporate news dominating on the market. The PFTS index declined by 1.7% to close at 554 points. DonbasEnergo (DOEN) was the biggest drag for the gauge, slumping 17% to UAH 29.00 after the company posted a huge UAH 436mn net loss for 4Q18. Nevertheless, the DOEN stock received some support from expectation that shareholders who vote against the item of so-called ‘substantial deals’ at the meeting on Apr 24 will have an option to sell their holdings at UAH 33.50 per share. On the upside, UkrNafta (UNAF) gained 7.4% to UAH 145 ahead the company’s shareholders meeting, which should approve a sale of 4.1bn cubic meters of natural gas to state energy giant NaftoGaz. The deal could potentially bring in UAH 32bn in revenue for UkrNafta, which would then be a source for repayment of the company’s UAH 12bn tax debt. Raiffeisen Bank Aval (BAVL) added 1.0% to 37.90 kopecks and TurboAtom (TATM) was unchanged at UAH 11.50 per sh