FT: Sale of Petrom stake, stepping stone in remarkable turnaround for Romania

The bitter medicine has been working in Romania and the sale of half of the state's remaining stake in Petrom is another stepping stone in the economic comeback, wrote the Financial Times in an article titled 'Balkan and must'. “The sale of the government’s family silver has been painful, but not as tough as the budget cuts following a €20bn rescue package in 2009, including big reductions in social transfers and an incredible 25 per cent slashing of public sector wages,” according to the FT. Romania is given as example to countries like Greece. “Romania’s recovery gives hope that, even in the Balkans, where there’s a will there can also be a way,” the article concludes. Read the full FT story here. Romania will sell a 9.84 percent stake in oil and gas company Petrom (symbol SNP) in a public offer between July 11 and 22, at a maximum price of RON 0.46 per share. Romania will sell 5.5 billion Petrom shares, most of which destined for institutional investors, while only 15 percent will target retail investors. The Romanian state could thus raise a maximum of EUR 610 million from this public offer. Brokerage companies BT Securities, EFG Eurobank Securities, Romcapital and CEC Bank will intermediate the subscription. editor@romania-insider.com (Photo source: Corina Saceanu/Romania-Insider.com)