TSE (Tallinn) Market Overviews
05/11/2007-09/11/2007
OMX Tallinn fell by 1.38% this week, which is better result than Baltic markets in general (-1.91%). With 2093 deals made, the total turnover reached 16 million euros, which is a decrease of 27% compared to previous week. The dropping index can be explained by the fact that world markets were also declining this week due to the US non-stopping subprime problems and bank after bank announcing writing off assets including the world biggest bank Citigroup, and actually OMXT even outperformed the major indeces (in October it did not). Another ongoing issue is that economists are concerned about Estonia’s future and the risk for hard-landing and devalutaion of EEK. The biggest increasers were Viisnurk (VSN1T), Harju Elekter (HAE1T) and Kalev (KLV1T), which rose 5.96%, 5.85% and 5.20% respectively. The worst performers were Olympic Entertainment Group (OEG1T) –5.79% and Merko Ehitus (MKO1T) –2.86%. The biggest turnovers were made by Kalev (KLV1T) EUR 4.25 million and Arco Vara AS (ARC1T) EUR 4.01 million. Overally, huge uncertainty and continuing decreasing trend dominates the world markets and thus OMXT at the moment.
AS Viisnurk (VSN1T) unexpectedly became the winner of the week. It’s stock value increased from 2.85 to 3.02 – totally by 5.96 %. It has been a long time since As Viisnurk experienced success on the stock exchange, during the previous month it’s shares used to fall in price. It seems that finally As Viisnurk bounced back and recent reorganization of this firm does not cause falls any more. It is hard to predict whether AS Viisnurk will be so successful furthermore, but the firm has a very good reputation on the market. It produces the classic furniture in the style of 19th century, which is always in demand, and nowadays As Viisnurk is said to be one of the best this type furniture producers in
Scandinavia ,
Russia , The Ukraine and Baltic region. As its activity is closely connected with construction, it is likely that As Viisnurk will be very successful while construction boom is going on. However, it has not obtained stability yet, so we cannot be sure in our predictions.
Having sold its 25% holding in affiliated company Baltic Electronics SIA, the investors reacted bearish, putting the Olympic Entertainment Group (OEG1T) to acquire the biggest decrease over the past week. Being precise, the named stock fell by 5.79%, closing at 5.04 EUR with this weeks turnover over 1.4 million euros. However, it should be noticed that OEG has spread rapidly throughout Europe, mainly in
Romania and
Latvia during the past several weeks. The company is developing to be the biggest provider of casino entertainment in the
Central Europe , operating in seven countries at the moment.
Kalev (KLV1T) had the biggest turnover this week (25% of the total turnover of OMXT), which was basically done on Monday. Only 53 deals were made, but it totaled up to EUR 4 245 178 in turnover and the price jumped by 5.20%. There was, however, a good reason behind it. On Monday, AS Rubla, the biggest holder of Kalev, made a takeover bid to Kalev’s shareholders with 1.85 EUR per share, which was 7% higher from the previous closing price.
By Maia Sokolova
Taavi Mandel
Veiko Visnapuu
