Page 130 - SE Outlook Regions 2022

On both stock exchanges in recent years, most of the turnover relates to
trading in entity government securities, with very modest amounts of trading in
company shares.

According to the official data of the stock exchanges, in 2020, the total turnover
on SASE was BAM541mn, and on BLSE it was BAM734mn. In the first six
months of 2021, the total turnover on SASE was BAM276mn, and on BLSE
238mn.

The volume of trading on the stock exchanges in Bosnia in 2022 will depend
mostly on the supply of bonds and treasury bills of the entity governments.

5.3 Markets - Bulgaria

Bulgaria’s stock market has revived in 2021 following deterioration in 2020
caused by the coronacrisis. Several IPOs were carried out, including some
delayed from 2020.

In October, Bulgarian real estate investment company Infinity Capital raised
nearly BGN1.36mn (€715,800) in an initial public offering (IPO) on the Sofia
bourse's BEAM, which was created to allow small and medium-sized
enterprises (SMEs) to seek listings under simplified procedures as compared
to the regulated market. The IPO was delayed a few times due to the
coronavirus (COVID-19) pandemic and market conditions.

Investors subscribed and paid for a total of 847,198 company shares with a
nominal value of BGN1 and an issue price of BGN1.60 each, Infinity Capital
said in a bourse filing. The company intends to use the proceeds from the IPO
for the development of its project for the Aristocrat Hills residential complex
near Sofia, which envisages the construction of 13 luxury houses.

In December, the IPO of Dronamics Capital, a company established to invest
in Bulgarian cargo drone manufacturer Dronamics, was oversubscribed almost
4.5 times. In the IP the company raised BGN6mn (€3.1mn), in line with the
target.

Looking forward, Gambling company Telematic Interactive Bulgaria plans an
initial public offering (IPO) on the Sofia bourse in the first months of 2022 and
has already started the procedure for it. This will be the first company from the
gambling industry to be listed on the bourse in Sofia.

The company’s owners have the ambition to turn the company into one of the
ten largest in Europe in the online industry within five years, and to expand to a
leading global player within ten years, Forbes Bulgaria reported.

The IPO should be held at the end of January and is the first announced for
next year.

130 SE Outlook 2022 www.intellinews.com