BLOOMBERG: Sadovaya, Ukrainian Coal Group, Soars at Warsaw Debut

BLOOMBERG
31-12-2010
Pawel Kozlowski

Sadovaya Group SA, a Ukrainian coal producer, jumped as much as 22 percent as its stock started trading on the Warsaw Stock Exchange.

The shares climbed as high as 10.49 zloty and closed at 10.44 zloty at 4:30 p.m. in Warsaw, valuing the company at 450 million zloty ($151 million). The benchmark WIG20 Index fell 0.7 percent, trimming this year’s advance to 15 percent.

Sadovaya, Ukraine’s fourth-largest private producer of energy coal, sold 92.6 million zloty of shares at 8.6 zloty each in an initial public offering this month.

The company is the third coal producer traded in Warsaw after New World Resources NV of the Czech Republic and Lubelski Wegiel Bogdanka SA of Poland.

Thirty-four companies started trading on the Warsaw exchange’s main market this year and an additional 85 debuted on the NewConnect platform for smaller companies, according to the exchange’s website.

The Warsaw exchange was the fastest-growing market in central Europe this decade, more than doubling the number of traded companies and almost tripling daily turnover, according to its website. The bourse lists companies with total market capitalization of $187 billion, making it the third-largest in emerging Europe after markets in Russia and Turkey.