Russian retail property developer OJSC RTM has said that its share price is not representative of the company's real value. RTM issued a short statement to emphasise this point on Friday as Russian stock exchanges halted trading due to sharp losses across the board.
Russian retail property developer OJSC RTM has said that its share price is not representative of the company's real value. RTM issued a short statement to emphasise this point on Friday as Russian stock exchanges halted trading due to sharp losses across the board.
'According to the company's preliminary IFRS-compliant financial statements, the projected net asset value (NAV) of OJSC RTM as of 30 June 2008 was more than $500 mln. Thus, the fair value of OJSC RTM’s shares is considerably higher than the current market quotations,' RTM said.
The developer linked the poor performance of its share price to the problems on the capital markets 'caused inter alia by the panic among market participants'.
RTM said the reviewed consolidated statements for the first half of 2008 are scheduled for publication in the first half of November 2008.
Both Russia's exchanges, the MICEX and the RTS, suspended activity for a period on Friday as they each shed more than 7% in early trading. The Russian stock exchanges have halted trading several times in recent months as worries about falling oil prices, the global financial crisis and the fallout from the conflict with Georgia has translated into plunging share prices.
