Warsaw Stock Exchange will buy foreign competition. Details are provided

The authorities of the Warsaw Stock Exchange decided to make another acquisition. There is consent to take over the competition from Armenia.

The Management Board and Supervisory Board of the Warsaw Stock Exchange have approved the acquisition of 65.03 percent. shares in Armenia Securities Exchange. The transaction is to be paid in two instalments.

The WSE takes over in Armenia

After the transaction, the Armenian stock exchange will retain 9.95 percent of shares. shares, the Central Bank of Armenia, which put the company up for sale, will keep 25.02 percent. shares, and the rest, i.e. a controlling stake, will go to the management board of the Warsaw Stock Exchange. The agreement also provides that the WSE will take control of the central securities depository in Armenia. It is currently fully owned by the management board of the stock exchange in Armenia.

Stock exchange for PLN 8 million

The purchase of the stock exchange in Armenia will be carried out in the form of two tranches. The first, in the amount of 498 765 150 Armenian dramas (about PLN 4.8 million PLN), will be transferred after signing the share purchase agreement. The second payment in the amount of 327,532,400 drams (approximately PLN 3.1 million) will be transferred to the account of the Central Bank of Armenia once all the procedures specified in the agreement of the parties have been completed.

The information about the takeover of the stock exchange coincided with the publication of the financial results of the Warsaw Stock Exchange for the first quarter of 2022. The company’s report shows that in the first three months of the year, the net profit amounted to PLN 38 million, or 2.2 percent. less than in the same period last year.

Sales revenues in Q1 this year amounted to PLN 110.2 million (decrease by 1.2%), operating costs: PLN 68.8 million (increase by 4.6%), and operating profit: PLN 41 million (decrease by 9.2 percent), stated.

Source: Wprost


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