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From February 1, 2004, registered corporate bonds of a foreign company Baltic Property Trust A/S will be admitted to the VSE Current List. Registered Corporate bonds of Vilniaus bankas AB will be included in the same list provided that the issuer fulfills the requirements of the VSE Trading Rules until February 25, 2005 inclusive, i.e. will publicly distribute a sufficient amount of bonds. Such a decision was made at the VSE Management Board meeting on January 24, 2005.
“We are delighted to start trading with this new instrument on the Vilnius Stock Exchange. Listing of corporate bonds on the stock exchange should make it easier for the companies to borrow in the capital market. We believe that reduction of the trading fees as well as admission fees of the corporate bonds to the trading lists will not only benefit investors, but also encourage other companies to follow Baltic Property Trust A/S and Vilniaus bankas AB lead,” said Dalia Jasulaityte, the VSE President.
“As Vilnius Stock Exchange has now become part of OMX and the new trading system SAXESS is being implemented, Baltic Property Trust A/S believes that their recently issued bonds listed on the Vilnius Stock Exchange will be easily tradable on other Baltic and Nordic Stock Exchanges as well. This is a big bonus to our investors as they are of Pan-Baltic and Nordic origin. We also seek to attract other investors, such as pension funds in the Baltic States, which previously were unable to invest into unlisted securities due to legal regulations as well as to create a secondary market of these securities for individual investors. We believe that listed bonds will provide further exposure to the Baltic Property Trust A/S name,” said Algirdas Vaitiekunas, “Baltic Property Trust A/S” Chief Financial Officer.
“We provide investors with the new opportunity to invest in the bonds of a Lithuanian company and to use the advantages of the trading on the stock exchange. Both for institutional and private investors it is more convenient to trade in the VSE listed securities and easier to get all necessary information about the bond turnover. The fact that these bonds are traded on the stock exchange will raise their turnover, and thus increase their liquidity on the secondary market. We think that this issue should be of special interest for big financial institutions like insurance companies and pension funds,” said Vykintas Misiunas, Director of Treasury and Financial Markets Department.
More information on both companies’ bonds is available in Attachment No 1.
