Romanian electricity producer Hidroelectrica has announced the admission of its shares to the Premium tier of the Bucharest Stock Exchange. Trading under the symbol "H2O" commenced at 10:00 AM EEST.
The initial public offering of 78,007,110 shares by Fondul Proprietatea S.A., managed by Franklin Templeton International Services S.À R.L, was priced at RON 104 per share. This pricing implies a market capitalization of RON 46.8 billion (€9.4 billion) at the time of admission.
Bogdan Badea, Chief Executive Officer of Hidroelectrica, expressed his delight at the listing and trading of the company's shares on the Bucharest Stock Exchange: “This represents the final stage of an intense and lengthy process which has delivered the results we witness today. The success of the IPO is, on one hand, a historic achievement for the Company and, on the other hand, evidence of the immense potential that the Romanian capital market has to contribute to our growth asban economy, as a country, and as a nation.
“I would like to thank everyone who has made this landmark listing possible, for their commitment, consistency, care, and diligent work in realising this project. The significant interest in the IPO from both domestic and international investors is testament to both
the quality of our business and its future prospects, and the listing on the Premium tier of the BSE’s regulated market will underpin Hidroelectrica’s long-term growth,” Badea added. ”On behalf of the Company, I extend a warm welcome to all our new shareholders. We look forward to sharing the future successes of the business with you, as we drive value creation while contributing towards Romania’s energy transition goals.
Hidroelectrica is the leading electricity producer in Romania and one of Europe's largest hydro players. The company operates 182 hydropower plants, five pumping stations, and one wind farm strategically positioned across Romania. With a 100% renewable portfolio, Hidroelectrica has an installed hydropower production capacity of approximately 6.3GW and an installed onshore wind capacity of 108MW. The company has consistently held a significant market share in electricity delivered to the grid and has been actively supplying electricity to the Romanian wholesale and retail markets.
In terms of financial performance, Hidroelectrica has reported growing revenues and profits in recent years. In 2022, the company generated consolidated revenue of RON 9,452.0 million and a profit for the year of RON 4,464.0 million. During the first quarter of 2023, Hidroelectrica achieved consolidated revenues of RON 3,272.1 million, an Adjusted EBITDA of RON 2,184.2 million, and a profit for the period of RON 1,723.4 million.
Prior to the IPO, the Romanian Ministry of Energy owned 80.06% of the company's shares, while Fondul Proprietatea held a 19.94% minority shareholding since its establishment in 2005.
