In February, NovaPay Credit LLC made a public offering of two issues of interest-bearing bonds of series “D” and “E” with a nominal amount of UAH 100 million each through the PFTS stock exchange.
“100,000 D series interest-bearing bonds with a nominal value of UAH 1,000 with a maturity date of January 19, 2027 and an interest rate of 18% per annum were placed on the PFTS. Also, 100 thousand interest-bearing bonds of series “E” with a nominal value of UAH 1,000 with a maturity date of February 19, 2027 and an interest rate of 18% per annum were placed on the PFTS,” the exchange said.
According to information on the PFTS website, the public offerings were formalized by only two transactions for the entire volume of issues: series D – on February 16, series E – on February 27. Both times the sale price was equal to the face value.
Last year, NovaPay Credit registered with the NSSMC three public issues of interest-bearing bonds of series A, B and C for UAH 100 million each. Series “C” has a maturity of two years instead of three years in the previous two issues and coupon payment on a quarterly basis, while in the issues “A” and “B” interest payment is provided at the end of the circulation.
The interest rate of the “C” series bonds is set at 20% per annum, as in the previous series, but only for the first year of circulation, while for the second year it will be additionally determined with the right of the holders to submit the bonds for mandatory redemption.
In addition, along with the D and E series issues, NovaPay Credit registered a F series issue with the same nominal amount of UAH 100 million at the end of last year. The bonds of these three series have a maturity of three years and pay a single coupon at 18% per annum at maturity. The public offering of the F series will be held from March 19, 2024 to March 18, 2025 through the PFTS exchange.
“NovaPay Credit has already announced that it intends to actively use the bonds issued in repurchase agreements for terms from one month to one year, which are concluded through the NovaPay mobile application, creating a convenient alternative to bank deposits.
The company completed the first nine months of 2023 with a net profit of UAH 29.88 million, while the same period in 2022 resulted in a net loss of UAH 4.97 million. Its revenue tripled to UAH 58.02 million. The loan portfolio amounted to UAH 278 million as of September 30.
It was noted that the company is present in more than 3.6 thousand financial service points.
The PFTS Stock Exchange (Kyiv), the largest stock exchange in Ukraine by trading volume, plans to increase its authorized capital (AC) from UAH 32.01 million to UAH 62.01 million, or 93.7%.
The shareholders will consider the issue at an extraordinary remote shareholders’ meeting on February 6 this year, according to the announcement of the meeting on the exchange’s website.
According to the announcement, the increase in the authorized capital is planned to be made by placing an additional 30 thousand shares with a par value of UAH 1 thousand through additional contributions without a public offering.
The preliminary list of persons among whom the additional shares will be placed is limited to existing shareholders, but the meeting may expand it to include other investors who intend to purchase shares.
The largest shareholder of the PFTS since the beginning of 2022 is Bohai Commodity Exchange (BOCE Co. Limited, Hong Kong) with 49.9% of shares. According to the NSSMC’s disclosure system, there were no other shareholders with a stake of more than 5% at the end of the third quarter of 2023.
At the same time, in mid-October 2023, Prime Holding LLC announced its intention to acquire 2,835 shares of the exchange, which is 8.8566% of its authorized capital.
PFTS did not publish financial statements after 9 months of 2021. According to information from the last annual shareholders’ meeting, the exchange reduced its net loss in 2022 by 8.6% compared to 2021, to UAH 3.641 million.
The volume of trading on the PFTS in 2023, according to the exchange, increased 3.6 times to UAH 320.8 billion, which accounted for 63% of the total trading volume of securities trading organizers in Ukraine, including UAH 28.6 billion in December, or 66% of the total trading volume in the country.
In particular, the volume of trades in government bonds on the PFTS in 2023 increased 3 times to UAH 308.6 billion, corporate bonds of Ukrainian issuers – 20 times to UAH 1 billion (due to the resumption of initial public offerings), bonds of foreign countries – 5 times to UAH 0.7 billion, but transactions in shares were made for only UAH 19.4 million.
In 2023, 15.7% of transactions were made on the order market, 78.7% on the quotation market (including targeted transactions), 5.3% in repo and repo with risk control, and 0.3% in the auction mode.
In December 2023, 39 trading participants on the PFTS concluded transactions with 48 securities issues (Ukrainian government bonds – 33, Ukrainian Eurobonds – 1, corporate bonds of Ukrainian issuers – 7, foreign bonds – 6, shares of Ukrainian issuers – 1), and in total, in 2023, 49 participants concluded transactions with 114 securities issues.
As of January 1, 2024, the number of PFTS members admitted to trading was 51: 30 banks and 21 financial companies. A total of 353 securities issues were admitted to trading on the exchange, of which 119 were in the Exchange Register.
The TOP-5 traders of government bonds on the PFTS in 2023 include state-owned Ukreximbank and PrivatBank, as well as Citibank, OTP Bank and Alliance Bank, while the TOP-5 traders of corporate bonds include TAScombank, Dominant Trade LLC, BTS Broker, Univer Capital and Investment Capital Ukraine.
The Antimonopoly Committee of Ukraine has approved an application of China’s Bohai Commodity Exchange (BOCE) to acquire a stake in the share capital of PJSC PFTS Stock Exchange (Kyiv), the press service of the committee has told Interfax-Ukraine. As reported, BOCE early May 2018 asked the Antimonopoly Committee of Ukraine for preliminary conclusions on the acquisition of over 25% of shares in PFTS. The application was returned, as information was not disclosed in a proper way. Late September, the Chinese exchange repeatedly submitted the documents.
PFTS Stock Exchange is one of the oldest in the Ukrainian stock market. In 2017, the volume of exchange contracts on the PFTS amounted to UAH 64.34 billion, and this indicator was less only compared with the Perspectiva stock exchange (UAH 127.43 billion), but it is more than at the Ukrainian Exchange (UAH 13.41 billion). The main volume of trading fell on government bonds – UAH 57.99 billion, while the turnover of shares amounted to UAH 3.16 billion, bonds of enterprises – UAH 3.19 billion.
PFTS in 2017 received a net profit of UAH 0.82 million against a net loss of UAH 1.78 million a year earlier, increasing revenues by 61.5%, to UAH 9.45 million.
Its main shareholders are Parvana Ltd. with 8.9034% of shares, Crooxton Limited – 9.0596%, Primeview Ltd. – 8.4973%, Dakal Ltd. – 9.372% and Boline Ltd. – 9, 2158%, which beneficiaries are unknown.
China’s Bohai Commodity Exchange (BOCE) on September 18 repeatedly submitted an application seeking the approval of the acquisition of a stake in the share capital of PJSC PFTS Stock Exchange (Kyiv), Head of the Antimonopoly Committee of Ukraine Yuriy Terentiev has told Interfax-Ukraine. “The Chinese side [in May 2018] applied for an agreement to acquire a stake in the PFTS, but since the seller’s control relationships were poorly disclosed, this served as the basis for returning the application. This week, on Tuesday, the party addressed with a new application,” he said on the sidelines of the annual Ukrainian Financial Forum in Odesa organized by ICU investment group.
The head of the committee added that if the documents are properly presented, an appropriate permit can be granted within 45 days.
In addition, Terentiev said that regarding the Ukrainian Exchange, which announced its intention to offer 36% of the additionally issued shares to BOCE, the committee has not yet received the application.
Earlier, BOCE studied the possibility of buying more than 25% of the shares in PJSC PFTS Stock Exchange and in early May 2018 asked the Antimonopoly Committee of Ukraine for preliminary conclusions on the acquisition of such a stake.
Chinese Bohai Commodity Exchange (BOCE), which last year became the owner of the Ukrainian Bank for Reconstruction and Development (EBRD), is mulling the possibility of buying over 25% of shares in public joint-stock company PFTS stock exchange. The Antimonopoly Committee of Ukraine reported that BOCE (Hong Kong) Co., Limited asked the committee to present the preliminary conclusions on the acquisition of the stake in the Ukrainian exchange.
As reported, BOCE (Hong Kong) Co., Limited at the end of November 2016 won at the auction of the State Property Fund of Ukraine for the sale of 99.9% of UBRD shares being in state property. The final selling price was UAH 82.83 million.
The contract for the sale and purchase of shares was signed on June 8, 2017 and in early July China’s BOCE completed the payment of shares purchased at the privatization auction.
