As of yesterday, February 19, 27 joint-stock companies have decided to distribute a total of ₮450.5 billion in shares. Their NA returns averaged 5.2% as of the date of the board’s decision. Which sector of investment will yield higher NA?
Can’t keep up with the sharks
The question of how much shares banks will distribute this year has kept investors awake. At the moment, 4 out of 6 open banks are going to issue 362.8 billion ₮ NA, which makes up 80.6% of the total NA alone, and the yield has reached 6.8% on average. In particular,
Inevitably, KHAN: KHAN Bank (KHAN) decided to distribute ₮271 billion worth of bonds. As a result, NA’s return was 11.8%, which is 6.6 percentage points higher than the average return of 27 companies, and alone accounted for 60.2% of the total NA value.
But: Banks are waiting for the approval of the Board of Directors and the Bank of Mongolia to issue NA. Now, it remains interesting to see how much the share of State Bank (SBM) and TDB (TDB) will be.
Afterwards
Under the influence of APU, which will distribute ₮46.8 billion from its half-year profit, food producers have come after the bank with a total of ₮54.4 billion. Thus, the sector accounted for 12.1% of the total NA value, with an average yield of 4.9%. And,
Findings: 9 financial JSCs, other than banks, will issue bonds worth ₮25.2 billion, and the yield on bonds is 6.8% on average. As a result, almost half of those who made the decision to distribute share, or 48%, belong to the banking and financial sector. They are polishing the SCC.
Don’t worry: the remaining 11 JSCs will issue bonds worth ₮8 billion, yielding 3.4%. Remember, this includes Mongolian Basalt (MBW) and Monlogistics Holding (MLG).
In addition, 6 JSCs have clearly announced the date of NA payment. Specifically, JSCs like LEND, Ard Credit NBFC (ADB), Ard Insurance (AIC), Invescor NBFC (INV), Sandley NBFC (SEND), And-Energy (AND) will issue their NA on a specific day. Mark your calendar.
Finally, as a result of the banking reform, the banks became more open and the share yield increased, which pleased the investors. Also, it is good that many companies are clearly announcing the date of share distribution as part of our initiative this year. Now that everyone is clear and informed…
Note: Written based on the news of the share decision of JSCs on the website of the Ministry of Finance.
