MINSK, 25 July (BelTA) – The first foreign investor has bought a stake in Gomel Fat-Processing Plant to the amount of nearly $10,000, BelTA learnt from the Agency of Business Relations.
"A source close to the participants of the deal told the agency that on 21 July a stake in Gomel Fat-Processing Plant was purchased at the Belarusian Currency and Stock Exchange on behalf of a non-resident of the Republic of Belarus," the Agency of Business Relations informed.
The details of the deal are not disclosed, however it is known that the foreign investor bought 5,430 ordinary shares to the amount of Br102,084,000 (or about $10,000).
Director of Gomel Fat-Processing Plant Dmitry Babundin said that he is not surprised that a foreign investor showed interest in the shares. The company's upgrade effort is already bearing fruit, as the company bought new equipment, which is more energy-efficient and productive. "We hold a considerable market share in virtually all our lines of business in Belarus. Naturally, this encourages foreign investors," the company head said.
According to Dmitry Babundin, the number of shares purchased by the foreign investor is rather an indicator of "the investor's intention to get to know the company closer using the rights provided by a shareholder's status". "It might also be that this investor is an individual who knows well the situation on the stock market and wants to earn on the increasing cost of shares", the director assumed.
BelTA informed earlier that the initial public offering (IPO) of the public joint-stock company Gomel Fat-Processing Plant began on 17 July. For the sake of carrying out the IPO the company released an extra 4,035,000 ordinary shares with the face value of Br18,800 and the total value of Br75.858 billion. The extra shares were offered for public sale via the Belarusian Currency and Stock Exchange. The initial public offering will end by 1 September 2014.
Gomel Fat-Processing Plant was commissioned in 1932. In January 2005 it was reincorporated as a public joint-stock company. It is Belarus' largest oil and fat processing enterprise. The company offers sunflower oil, colza oil, and blended sunflower and colza oil, margarine products (solid margarine, confectionery fat and cooking fat), mayonnaise, sauces based on mayonnaise, ketchups, beauty soap and laundry soap.
As of 1 May 2014 the authorized fund of Gomel Fat-Processing Plant was about Br233 billion. It was divided into 12,394,144 ordinary shares with the face value of Br18,800. The government share in the company's authorized fund is 99.43% (12,323,610 shares), the share of natural persons is 0.4% (49,967 shares), and the share of legal persons is 0.17% (2,567 shares). If all the extra shares are sold, the government share in the authorized fund will drop to 75.01%.