Imlek - first security on Belgrade Stock Exchange to reach 2007 level

The largest domestic dairy company Imlek is the first liquid security in the domestic equity market to reach the level it achieved in 2007, when a large stock market expansion was registered.

After the announcement of an information that Salford signed a Memorandum of Understanding with Holland's FrieslandCampina on the takeover of dairy companies Imlek and Mlekara Subotica, shares in the Belgrade-based company quickly gained in value. During the day, Imlek shares on the Belgrade Stock Exchange were mainly traded at the price of RSD 3,000 a piece, and they even reached the level of RSD 3,001, which is identical to their highest trading value achieved in April 2007.

The price of shares in Mlekara Subotica grew by maximum 20 percent, reaching RSD 1,800, whereas their record value was registered in May 2007 and amounted to RSD 3,500 a share.

At the price of RSD 3,001, the market capitalization of Imlek amounts to RSD 27.2 billion (EUR 258.5 million), while the Subotica-based dairy Mlekara is worth RSD 4.16 billion (EUR 39.5 million) after Thursday's trading.

AS FrieslandCampina announced on its corporate website, Imlek and Mlekara Subotica serve about 25m consumers, whereas their total revenue amounts to about EUR 270 million.

The sale of Imlek will be the first big takeover in this industry in the region since early 2007 when France's Lactalis took over Croatia's Dukat.