ROMGAZ is listing on the stock exchange their first bonds amounting to Euro 500 million
Societatea Națională de Gaze Naturale ROMGAZ S.A (the SNG ticker symbol), a company listed with the Bucharest Stock Exchange (BVB) for over 10 years, are listing today on the BVB their first corporate bonds amounting to Euro 500 million. The bonds issued and also listed on the Luxembourg Stock Exchange since the beginning of October 2024 are the first tranche of international bonds for 5 years under the EMTN (Euro Medium Term Notes) Program of ROMGAZ, which will enable the company to issue bonds having a value of up to Euro 1.5 billion.
The subscription of inaugural bonds under the EMTN Program, which are listed today on the Bucharest Stock Exchange as well, took place on 30 September 2024. A number of 500,000 bonds have been issued, having a nominal value of EUR 1,000, a fixed interest rate of 4.75% and maturity in 2029. Its success is even greater, since the bonds are issued by a company that operates in a sector of a strategic importance in Romania and Europe as well, i.e. production of natural gas, and the company’s major shareholder is the Romanian State. Besides, according to the latest data, Romania was, at the end of the second quarter of 2024, the largest producer of natural gas in the European Union. The funds raised will be used by ROMGAZ to finance the national strategic project Neptun Deep at the Black Sea, and to achieve transition towards a low-carbon business as well.
”This is a particularly important moment for ROMGAZ and we are honoured to see the interest shown by investors in the first corporate bonds issued by a company being majoritarily state owned. ROMGAZ has been listed with the Bucharest Stock Exchange for over 10 years and, during this time, we have shown our commitment to transparency, rigorous corporate governance and sustainable performance. This listing is an important step towards reaching our investment objectives of sustainable growth and maximization of value for shareholders and for the entire Romanian economy. ROMGAZ stands further as a pillar of trust in the national energy sector and this issuance of bonds is just the beginning of an ongoing process of development and innovation.”, stated Răzvan Popescu, CEO ROMGAZ.
”ROMGAZ is an example of a company with notable performances over the 11 years since it has been listed on the stock exchange. Starting with the listing of the company in 2013, which was one of the largest offers for the sale of shares carried out by the Romanian state through BVB and until today, when we see this first bond issue of the company listed on the local stock exchange, BVB proves to be, once again, a reliable partner of ROMGAZ in supporting its strategic development plans.”, stated Radu Hanga, President of the Bucharest Stock Exchange.
”ROMGAZ is one of the most important issuers on our stock exchange, having been listed for 11 years, a period in which there have been many positive events for the Romanian capital market, and ROMGAZ contributed to its development. At this point, I would like to remind that ROMGAZ is one of the 3 issuers thanks to whom FTSE Russel decided in 2019 to promote the Romanian capital market to the position of Emerging Market. Today, ROMGAZ is an eligible candidate for inclusion in the FTSE Russell indices for Emerging Markets, providing compliance with the liquidity criterion; moreover, we foresee that ROMGAZ plays an important role in the potential for promotion of the Romanian capital market to the position of emerging market by the MSCI as well. ROMGAZ is a benchmarking company in the Romanian economy and today, by this listing of bonds on the BVB, the first in the company’s history, which will fund a nationally important project, Neptun Deep, we are pleased to have the opportunity of partnering with ROMGAZ for the company’s development prospects. Congratulations for the success of this issuance of bonds, which ascertains the trust that institutional investors have in you and highlights further more your position of key player in the energy sector.”, stated Adrian Tănase, CEO of the Bucharest Stock Exchange.
The listing of bonds on the BVB was achieved with the support of BT Capital Partners, a member company of the Banca Transilvania Financial Group, specialised in brokerage services, assistance with listing on the capital market and with attracting investors, consultancy for merges and acquisitions, attraction and structuring of complex fundings, market research and strategic consulting.
” We are particularly honored to be part, as a member of the consortium, of this new stage of development of a company with tradition on the capital market in Romania. We actively assisted ROMGAZ in structuring the project and attracting a record level of interest from local and international institutional investors, within an ambitious plan of national importance and with a direct impact on Romanians. We are joining the executive team to celebrate the listing of the bonds to the Bucharest Stock Exchange, and we are confident that the efforts made and the results achieved so far are an useful indicator for the positive evolution anticipated in the future.”, stated Daniela Secară, BT Capital Partners CEO.
ROMGAZ was listed on the BVB Regulated Market on 12 November 2013, after it had successfully implemented a cumulated initial secondary public offering of RON 1.7 billion, on the local exchange and the London Stock Exchange. For Romania, the company listing was one of the highest offers for sale of shares obtained by the Romanian State through BVB. The largest shareholder of ROMGAZ, owing 70% shareholding, is the Romanian State, through the Ministry of Energy.
Since December 2013, ROMGAZ has been added to the BET reference index of the BVB, which includes now top 20 most traded companies on the local exchange. It has also been added to the BET-XT, BET-BK and BET-NG indices. In the BET-NG sectoral index, which shows the trend of companies listed on the BVB regulated market, whose main business is energy and related utilities, ROMGAZ ranks third, having a rate of 16.43%. The company shares are also included in the BET-BK, BET-TRN, BET-XT, BET-XT-TR, BET-XT-TRN and BETPlus indices. Moreover, ROMGAZ shares are included in the MSCI Frontier IMI (Investable Market Index) indices dedicated to frontier markets. Since 16 May 2023, ROMGAZ has benefited from the Issuer Market Marker services provided by Raiffeisen Bank International.
On 15 November 2024, ROMGAZ recorded capitalization of RON 21,2 billion. According to the financial results as at 9 months, published by the company on the 15 of November, the consolidated net profit of the company was RON 2.27 billion in the first nine months, which is 4.84% above the rate in the similar period of the previous year. The turnover of ROMGAZ at the end of the first 9 months of 2024 was RON 5.6 billion, dropping by 17% compared to the same period of the previous year. The production of natural gas in the first 9 months of the year went up by 5% compared to the first 9 months of the previous year.
