Daily monitor

Shareholders of XXI Century, a Ukrainian real estate investment, development and property management company, adopted an emission of new shares and warrants.

Zhytomyroblenergo [ZHEN UZ, BUY], Chernivtsioblenergo [CHEN UZ, BUY] and Dniproenergo [DNEN UZ, U/R] reported their semi-annual financial results. In 1H09 ZHEN posted UAH 385 mln net sales (+16% YoY) and UAH 16 mln net income (+30% YoY). In 1H09 CHEN reported UAH 210 mln net sales (+22% YoY) and UAH 26 mln net income (+45% YoY).

Finance and Credit Bank intends to restructure its USD 100 mln eurobond issue maturing in January 2010. According to a press release, the bank is offering to postpone the repayment of the principal for three years and keep the coupon rate close to the current level, which is 10.375%. The bank says that, “preliminary negotiations revealed that a 10.5% coupon rate is acceptable for current owners of the bonds”.

Poltavaoblenergo [POON UZ, BUY] posted its semi-annual results. The company’s net sales totalled UAH 843 mln, which is a 34% gain compared to 1H08 net sales. POON’s 1H09 EBITDA rose 37% YoY to UAH 127 mln, net income more than doubled to UAH 80 mln.

According to the Ukrainian News agency, Bank Forum [FORM UZ, U/R] and Ukrgazbank [UGZB UZ, U/R] net losses in 1H2009 amounted to UAH 283 mln and UAH 76.4 mln respectively.

Myronivsky Khliboprodukt [MHPC LI, BUY] announced its plan to increase market share in the poultry market from its current 45-47% to 50%. MHP plans to expand the output of poultry meat by 23%YoY in 2009.

According to the Cabinet of Ministers web site, the government has increased the capital of 100% state-owned Ukreximbank by UAH 1 bln. According to Vladimir Novizkiy, Minister of Industrial Policy, the capital increase is to be used primarily for lending to aircraft construction factories. They are slated to receive about UAH 728 mln.

According to an e-mailed statement released by EBRD, the bank has approved a ten-year USD 80 mln subordinated loan to Forum Bank. No other details of the deal were provided. According to an e-mailed statement released by EBRD, the bank has approved a ten-year USD 80 mln subordinated loan to Forum Bank. No other details of the deal were provided.

Kharkiv-based OJSC Turboatom [TATM UZ, HOLD] – the largest turbine manufacturer in Ukraine – has reported a preliminary net profit of UAH 55.4 mln (USD 7.3 mln) which is 93% more than 1H08. According to an Interfax agency report, net sales grew by an expected 54% YoY in 1H09 to UAH 357.4 mln (USD 46.9 mln.). About 86% of TATM’s production was exported in 1H09.

At their September 14 EGM, shareholders of Concern Galnaftogaz [GLNG UZ, Speculative BUY] will vote on placing 2.93 bln new shares. The placement is planned to take place in two stages, November 2-16 and 17-19. Only existing shareholders will be able to purchase new shares. The price at which the shares will be offered is not yet known. As a result of the offering, the number of shares outstanding will increase by 16.7%, to 20.45 bln.