“The Romanian market is not willing to invest very much […]. We have opted to list GDRs in London,” Gabriel Dumitrascu, head of the Energy Department’s Privatization Division, told the participants at the Mediafax Talks about Energy conference.
The ministry wants to obtain EUR600 million from selling 15% in Romgaz and is considering a secondary listing in London or Warsaw, arguing that the local exchange could be too small to raise the desired amount.
The proposal was not well received by local brokers, who said the move would hinder the development of the capital market.
Romgaz is majority owned by the Energy Department. The company reported a net profit of 1.24 billion lei (EUR281 million) in 2012, up 20% on the year, on total sales of RON3.84 billion.