Bulgaria’s Sopharma to List Capital on Warsaw Bourse

(Corrects to say the company will list its existing capital in headline, lead and second paragraph of story originally published Oct. 21.)

Sopharma AD, Bulgaria’s biggest publicly traded drugmaker, will list its existing capital worth 132 million lev ($91.3 million) on the Warsaw Stock Exchange (GPW) by the end of the year, Chairman Ognian Donev said.

“The full issue will be listed in Warsaw when all technical procedures are completed,” Donev said in a phone interview in Sofia today. “I hope it’ll be done by the end of the year.”

Bulgaria’s financial regulator approved the issue, with shares priced at 1 lev apiece, it said on its website.

Sopharma has about 20 percent of the Bulgarian market for generic medicines, trailing Reykjavik-based rival Actavis Group hf’s 33 percent, according to A.T. Kearney, a global management consulting firm based in Munich. Sopharma also owns stakes in businesses including real estate, trading, shipping, health insurance and a hospital.

Consolidated net income fell 18.5 percent to 21.3 million lev in the first half of the year from the same period a year earlier, because of new investments, the company said Aug. 29. Six-month sales increased 13 percent to 315.7 million lev, driven by domestic demand. Exports rose 11 percent in the half year.

The company exports about 28 percent of its output to some 30 countries including Russia, Ukraine, Poland, Kazakhstan and Turkey among other countries. Sopharma opened a new factory in neighboring Serbia last month.

Gramercy Emerging Markets Fund and Gramercy Select Master Fund hold 6 percent and 6.45 percent, respectively in the generic drugmaker, while three Bulgarian companies, in which Donev has a stake, control about 60 percent.

To contact the reporter responsible for this story: Elizabeth Konstantinova at ekonstantino@bloomberg.net

To contact the editor responsible for this story: James M. Gomez at jagomez@bloomberg.net

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