Jugoremedija enters stock exchange - First trading on June 20, 2011

After the recent unsuccessful tendering procedure, when nearly 93 percent of shares of Jugoremedija were offered for sale at the price of EUR 52 million (EUR 15 per share), this company has filed a request for quotation on the Belgrade Stock Exchange.

The first trading is scheduled for June 20. The indicative price is RSD 333, which is in accordance with the company's market capitalization of RSD 1.24 billion (EUR 12.7 million). Jugoremedija almost doubled its business revenues to RSD 1.1 billion last year, while the net loss, primarily caused by high financial expenditures, amounted to somewhat less than RSD 300 million.

Jugoremedija's biggest stakeholder is the state, which holds a 42 percent stake in the company through the Share Fund and the Pension and Disability Insurance (PIO) Fund. This pharmaceutical company came to the focus of public attention after the first controversial privatization in 2002 when the Macedonian company Jaka 80 acquired a controlling stake in that company. After a three-year protest by workers and shareholders, the privatization agreement was terminated by court rulings.