Romanian investment fund Fondul Proprietatea will start its fourth share buyback program in the following days, previously approved by its shareholders in April. This comes after the market regulator the Authority for Financial Surveillance allowed the fund to cancel 1.1 billion of its own shares that it bought in the second buyback program.
Fondul Proprietatea shares closed at RON 0.936 per unit yesterday on the Bucharest Stock Exchange, up 0.3%, but still below the maximum of RON 0.948 achieved on September 17.
A fifth share buyback program is pending shareholders’ approval, for some 1.83% of the fund’s shares. Such programs are part of the fund’s strategy to diminish the discount between the value of the net asset and the price of shares, which is currently at 26%.