Romanian group Digi’s shares go up 6% in the first day of trading on the Bucharest Stock Exchange

Romanian telecom group Digi Communications saw its shares go up 6%, on average, in the first day of trading on the Bucharest Stock Exchange, on Tuesday, May 16. The group successfully completed an initial public offering last week in which its shareholders sold 23.9 million shares representing 25.6% of the company’s capital, at a price of RON 40 per share. The total offer amounted to RON 950 million (EUR 209 million), making it the biggest private listing in Bucharest Stock Exchange history. The DIGI shares opened the day at RON 41.7 after which they quickly jumped to RON 43.6, 9% over the IPO price. The trading price then stabilized at around RON 42, at 11:00 AM. More than 720,000 shares worth RON 30.5 million were traded in the first two hours, at an average price of RON 42.4, 6% over the IPO price. Most likely, the sellers were individual investors, who benefited from a 7% discount to the IPO price and got to buy the shares for RON 37.2. They thus made an average profit of 14% in the first day of trading. Update: Romanian telecom group Digi finalizes EUR 190 million IPO amid corruption scandal editor@romania-insider.com