AVESTA Overview: September 30 - October 11
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 14.3bln UZS. The total number of securities traded stood at 73, fourteen less than the previous period.
A significant M&A transaction involving ARTS, for 12.7bln at 2,877.1 UZS per share, dominated the trading volume, contributing over 80% to the overall turnover. Additionally, a deal involving XTTB shares, worth 128mln UZS at 13,144.94 UZS per share further added to the activity in the market. Collectively, M&A transactions accounted for 85.7% of the total trading volume. URTS and UZMK made contributions of 3.5% and 2.4%, respectively, while bonds represented 2.5% of the total volume.
Closing prices saw declines in TNBN (-58.3%), URTS (-10.3%), HMKB (-5.2%), and UZMK (-3.9%), whereas UNVB (+17.7%), BFMT3V2 (+2.5%), and UZMT (+0.9%) witnessed price increases.
AVEX decreased by 13.1% during these two weeks.
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
Airports passenger turnover increased by one third in 9M2024, reaching 9.9mln passengers;
For 8 month of the year Uzbekistan imported almost 13k EV cars for $166.8mln, with 99.4% share from China;
Chinese private investor won an auction for privatization of 50% stake in plumbing materials production company AWP;
Uzbekistan will have 2-3 years transition period during the WTO ascendance process - it should help to soften possible shocks for a large companies which might lose some tax and customs duties benefits and protection;
ADB provided $15mln grant funds to Tajikistan for construction of electric grid from Rogun hydropower station to Uzbekistan electricity grids;
Navoi Mining JSC utilized over a $0.6bln in the investment program during 9M2024;
Russian Interlek interested in purchasing 15% share in Dori-Darmon JSC (DORI);
State budget deficit for 9M2024 decreased comparing with the last year numbers, incomes growth reaches 14.4%;
200 private kindergartens for $50mln will be constructed by 2029 using the funds attracted from the Islamic Development Bank and OPEC Fund;
Inflation in September reached 1.2% or 10.5% y-o-y;
IMF slightly raised its GDP growth projections for Uzbekistan to 5.6% for 2024 and 5.7% for 2025. Inflation forecasts have been revised to 10.4% for 2024 and 7.9% for 2025;
Eurasian Development Bank (EDB) to open a country office in Uzbekistan. Two parties agreed on joint projects totaling $3.3bln;
UK Export Finance to provide 12.6mln EUR to Almalyk Mining JSC (AGMK) to refinance its purchase of automated machinery from Scottish Weir, aimed at enhancing efficiency and output;
In August, gas (-3.6%), oil (-6.2%), and gasoline (-1.4%) production declined, whereas diesel fuel and coal production saw a y-o-y increase of 0.8% and 15.8%, respectively;
Fitch assigned a BB- rating to Agrobank JSCB's (AGBA) debut Eurobond issue for $400mln at 9.25% with a five-year maturity and local currency two-year bonds for 700bln UZS ($55mln) at 21.75%;
Ipak Yuli Bank JSICB (IPKY) to sign $42mln loan agreement with IFC to support small businesses and women entrepreneurship;
Foreign reserves increased by 5.1% from $39.2bln to $41.2bln, including $1.5bln increase in gold;
WB to allocate $800mln to support reform programs in Uzbekistan, including measures to improve the business environment, increase efficiency in the agricultural, railway and energy sectors and expand access to social protection services.