Transgaz loses 55 million euros on the Bourse

The shares of natural gas transmission company Transgaz Mediaș (TGN) lost 7% in yesterday’s trading session, after the Economy Ministry, which owns the controlling interests, rejected the proposition to disburse record dividends worth 338.7 million lei (83 million euros). The company’s capitalisation dropped by 55 million euros to 727 million euros.

“Investors were visibly annoyed by this (the rejection of the proposed dividend i.e.), because Transgaz’s dividend policy had been relatively predictable thus far and shares were put into the defensive shares category, chosen for long-term investment,” Darie Moldovan, head of operations with Broker Cluj was quoted as saying by Mediafax.

The Economy Ministry explained its decision by pointing to the fact that Transgaz needed money for investments undertaken by Romania as part of the Nabucco gas pipe project.