AVESTA Overview: November 11 - 22
Biweekly overview on Uzbekistan securities markets by Avesta Investment Group & Europe-Uzbekistan Association for Economic Cooperation
TASHKENT STOCK EXCHANGE
Throughout the period, trading volume on the Tashkent Stock Exchange reached 14.2trln UZS. The total number of securities traded stood at 72, four less than the previous period.
This week, a significant transaction involving Almalyk Mining JSC (AGMK) shares dominated the turnover. On November 19th, a 24.76% equity share in AGMK was sold for 12.2trln UZS (approx. $954.3mln) at 69,499 UZS per share. The company recently issued additional shares, now allocated to UFRD for the funding of the Yoshlik project. BRBN also contributed around 11% to the total volume with a deal totaling 1.6trln UZS at 119 UZS per stock, likely linked to M&A and restructuring processes. IQMK3V4 followed with trades amounting to 220.1 billion, adding another 1.6%. The Mortgage Refinancing Company of Uzbekistan JSC (IQMK3V4) conducted its fourth bond placement for 250bln UZS, featuring a three-year maturity and an expected return of 19%. Excluding significant one-time deals, bonds accounted for over 90% of the turnover, with stock trades making up the remainder.
Notable price increases were observed with OCBK and BTRL, rising by 69.9% and 48.0%, respectively. URTS closed at 15,399 after trading was paused due to the capitalization of the company's retained profits into charter capital starting on November 19th. The SPO with the company's shares concluded with the order book's completion on November 8th, showing a 108% oversubscription. The stock price on the first day of trading closed at 14,900, marking a 15.5% increase.
Over the two weeks, AVEX experienced an increase of 3.4%.
AVESTA EQUITY INDEX
*The AVEX index describes the general market trend by covering the top 20 listed companies, in a particular quarter, with the highest liquidity and transaction turnovers on the Tashkent Stock Exchange. The index is a sum of the daily stock prices multiplied by the weighted average coefficients given to selected companies. The base date is 01/01/2021 (1000).
Turnover breakdown
FINANCIAL NEWS
ECONOMICS
ADB to allocate $250mln to support implementation of a program for the transition to a low-carbon economy in transport and energy sectors;
6.5mln (+17.2%) tourists visited Uzbekistan in 10M2024;
New airline, SpaceBee Airlines, has been registered in Uzbekistan. The company's primary activity is commercial cargo transportation;
ACWA Power to build a 2GW electricity storage system in Uzbekistan for $1.1bln;
Number of real estate transactions increased by 0.6% in October;
EBRD to provide $238mln for the reconstruction of an 81km road between Urgench and the A380 highway in Khorezm region;
In October, car sales decreased by 6% compared to the previous month and by 43.3% y-o-y. EVs sales increased by 1.9 times y-o-y and reached 5,100 units;
Uzbekistan plans to build carbon-free data processing center with Saudi companies;
Banking NPL in October reached 4.2%, including 4.1% for state-owned banks and 4.4% for private;
Kyrgyz payment system, Elсard, to integrate with Uzcard;
Moody's upgrades Uzbekinvest JSC's (UZIN) rating to Ba2 with Stable outlook;
Foreign trade turnover in 10M2024 increased by 6.7% and amounted to $54.4bln including a 4.7% increase in imports, up to $31.9bln and a 9.6% increase in exports up to $22.4bln;
TBC Uzbekistan to launch its own processing center;
Chinese Huigong Machinery to build a factory for the production of spare parts for dump trucks in Tashkent region. A JV together with Almalyk Mining JSC (AGMK) was established to implement the investment project;
Turnover of Uzum’s e-commerce business tripled and reached $237mln in 9M2024. Volume of installments issued and loan portfolio doubled;
German International Cooperation Society (GIZ) to allocate 3mln EUR to Uzbekistan within the framework of a project to assist the private sector in "green" industrialization;
India agreed to liberalize the air treaty with Uzbekistan. Number of flights will increase from 14 to 28 per week;
Masdar to construct a new wind power plant with a capacity of 1000 MW in Navoi region;
Navoi Mining JSC (NGMK) to expand processing capacity at Hydrometallurgical Plant No. 7 (HMP-7), the largest facility dedicated to processing technogenic waste, to 25mln tons;
By the end of 2024, volume of remittances may grow up to $15bln and by 2027 up to $20bln;
Chinese Geely to enter the Uzbek market in 2025.