Listing Hidroelectrica is not possible this year, but next year, said on Tuesday, Johan Meyer, Portfolio Manager Fondul Proprietatea and CEO of Franklin Templeton Investment Management Ltd UK Bucharest Branch, stating that a longer period of restrictions will increase the potential for a postponement of the listing.
The company continues to take the necessary steps to select consultants to prepare for the IPO. Of course, a longer period of restrictions will accentuate the potential for a postponement of the listing. But as we are presently assessing the situation, we do not anticipate a major postponement. We are encouraged to see that the company's management is taking steps to achieve this goal, and we believe that the majority shareholder, the Romanian state, also continues to support the company's listing, Johan Meyer told a conference.
He also referred to the Order obliging energy companies to submit 5-year investment plans, specifying that it makes sense in theory, but in practice, "it is extremely difficult for them to make detailed plans, in a very short time and in such an unpredictable environment."
We don't expect them to be able to make major commitments with respect to infrastructure, for example. Any plan must have economic goals, so it must make sense from the point of view of the company and of its shareholders, said Johan Meyer.