Bucharest
10 December 2014
Reporter: Stephanie Palmer

BNY Mellon supports new rules in Romania


BNY Mellon has welcomed new rules that make it easier for foreign investors to buy securities in Romanian companies.

The Romanian Financial Supervisory Authority (FSA) agreed to allow Romania-based companies to issue depository receipts (DRs) in other European Union (EU) states and to utilise DRs for non-capital raising technical listings and secondary public offerings.

The decision was made last year, and by November 2013, Romania’s largest natural gas producer and supplier, Romgaz, listed its global depositary receipts (GDRs) on the London Stock Exchange (LSE).

In July this year, power supplier and distributer, Electrica also registered on the LSE.

Christopher M. Kearns, CEO of BNY Mellon's depositary receipts business, said: "The new FSA rules will help Romanian companies diversify their investor base and provide more opportunities for foreign investors to participate in an exciting growth market."

The Romanian economy is thought to be growing at four times the rate of the eurozone, and the country is rich in energy reserves.

Kearns added: "As depositary bank for both Romgaz and Electrica, BNY Mellon is at the forefront of this evolution in the market."

The new rules from the FSA follow a similar move from the Taiwan Financial Supervisory Commission to allow for a non-capital raising depositary receipts. BNY Mellon was also active in developing new guidelines for Taiwan, and hopes to attract greater foreign investment to the jurisdiction.

More news
The latest news from Asset Servicing Times
Join Our Newsletter

Sign up today and never
miss the latest news or an issue again

Subscribe now
Liquidnet expands its EMEA team
18 August 2017 | London | Reporter: Jenna Lomax
Strobel will report to Bob Garrett, who is head of technology and based in the New York office
TPAs and managers looking to outsource fintech
18 August 2017 | London | Reporter: Jenna Lomax
Global third-party administrators and asset managers are looking to outsource financial technology at an increasing rate, according to Domenic Ionadi, strategic account manager at Confluence
Boeing and JCP name Northern Trust as global custodian
17 August 2017 | Chicago | Reporter: Jenna Lomax
The Boeing Company has mandated Northern Trust to act as global custodian for its €54 billion defined contribution retirement plan
Whitebox Advisors chooses Broadridge suite solution
17 August 2017 | New York | Reporter: Jenna Lomax
Whitebox Advisors has mandated Broadridge Financial Solutions to transform its technology platform into a fully integrated, hedge fund operation
Allfunds to open office in the Nordics
16 August 2017 | London | Reporter: Jenna Lomax
Fund distribution platform Allfunds plans to open a local office in the Nordic region as it pushes ahead with growth plans across Northern Europe
Brian Quintenz takes up role at CFTC
16 August 2017 | Washington DC | Reporter: Mark Dugdale
Brian Quintenz was sworn in as a commissioner of the US Commodity Futures Trading Commission yesterday
LCH launches new SwapClear client account
15 August 2017 | London | Reporter: Drew Nicol
Global clearinghouse LCH has introduced a new type of client account within its SwapClear service that allows buy-side clients to deliver collateral directly and retain beneficial title
More news