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BET indices (Bucharest Stock Exchange's main index) and BET-TR (the index including dividends from BET companies) will include as of Monday 15 companies, following the inclusion of Sphera Franchise Group and Purcari Wineries, according to a Bucharest Stock Exchange (BVB) release.
"Investors have been prepared for such a measure since last month, when we announced that the BET and BET-TR indices could include a much larger number of companies. With the expansion to 15 companies, investors benefit from improved diversification in terms of the companies included in these indices, which thus offer a reduced level of sectoral risk incorporated in the two indices," said Adrian Tanase, CEO of the Bucharest Stock Exchange.
In his turn, the chair of the BVB Board, Lucian Anghel, emphasized that the Romanian stock exchange is becoming more open to opportunities and diversification.
"Two new areas of activity that are firmly anchored in the national economy and which contribute greatly to the development and growth of Romania are now represented in the main index of the BVB, which is becoming a more open market for opportunities and diversification," said Lucian Anghel.
The shares of Sphera Franchise Group, one of the most important food service operators in Romania, entered into trading on the BVB on 9 November 2017, with the SFG stock symbol. The company, which manages restaurants under the KFC, Pizza Hut and Taco Bell brands, has become the first food service operator listed on the BVB.
Purcari Wineries shares, the leading wine producer in Central and Eastern Europe, began trading on the main market of the BVB under the WINE symbol on 15 February, 2018. Purcari is the first Moldovan company listed on the BVB. The Purcari Group is one of the largest regional wine groups, with 1,060 hectares of vines managed and an export network covering over 30 countries.
The BET (Bucharest Exchange Trading Index) is the first index developed by BVB and is the reference index of the local capital market. Established on September 19, 1997, BET has had a maximum of 10 companies for nearly two decades. In March 2017, it was extended to 12 companies by including CONPET and MedLife. In mid-2017, BET was expanded to 13 companies, with DIGI Communications NV being included.
After the inclusion of Sphera Franchise Group and Purcari Wineries, the 15 companies that will be part of BET and BET-TR indices will be Banca Transilvania, BRD - Groupe Societe Generale, Bucharest Stock Exchange, CONPET, DIGI Communications, Electrica, Fondul Proprietatea, MedLife, OMV Petrom, Nuclearelectrica, Purcari Wineries, Romgaz, Sphera Franchise Group, Transgaz and Transelectrica.
The Indices Commission also decided, in its 3 September meeting, to introduce Alro into the Watchlist for eventual inclusion in BET and BET-TR in the coming period.
Last month, the BVB Board approved the modification of the BVB index textbooks, following a similar decision by the BVB Indices Committee. New rules for BET and BET-TR indices were introduced so that the two indices reflect the evolution of the most liquid companies listed on the BVB, and the maximum number of companies that can be included in the two indices has been extended to 20 companies.
