Present at the Bucharest Stock Exchange (BVB) for the launch of the first state bonds sale for individual investors, Prime Minister Victor Ponta pointed out that the government continues to plan to list some state-owned companies on the stock exchange, companies such as the Bucharest International Airport, the Port of Constanta, Romtelecom and CFR, companies for which preparatory procedures have already started or are set to start.
In what concerns Hidroelectrica, Victor Ponta expressed his hope that this company will come out of insolvency this year in order to start to prepare its listing on the Bucharest Stock Exchange (BVB).
He emphasized that although the company registered its highest profit ever in 2014, the process of coming out of insolvency is being delayed by the slow rhythm at which the Bucharest Court is settling the lawsuits with former companies that contracted energy from Hidroelectrica.
“Together with the Justice Minister I have asked the Bucharest Court leadership to find, if possible, a procedure through which to rule more rapidly, so as to be able to take Hidroelectrica out of insolvency and I believe listing Hidroelectrica will be a far bigger success than the ones we have had so far with Romgaz, Transgaz and all the others,” Ponta said.
Hidroelectrica was forced to file for insolvency for the first time in 2012, because of the severe drought and of contracts through which it sold electricity at prices below market prices, registering losses of USD 1.4 bln in six years.
The company went through a restructuring process and registered a record profit last year, cancelling all non-profitable contracts. The beneficiaries of those contracts attacked the decision in court and Hidroelectrica re-entered insolvency following a court decision. Hidroelectrica was expected to come out of insolvency in June 2015.