Companies reactivate their presence in the stock market
The economic illiquidity of 2018 motivated companies to seek financing alternatives and one of the options was to resort to the stock market. Last year, this sector issued securities in exchange for fresh resources, for an amount of $ 1,750 million, 24% more than last year.
This greater participation, together with that of the financial sector, caused the country’s stock markets to close a good year, despite the lower role of the public sector. According to data consolidated by the Guayaquil Stock Exchange (BVG), in 2018 there were $ 7,475 million in transactions nationwide, $ 861 million more than last year.
Last year, the number of issuers that participated in the Guayaquil and Quito exchanges totaled 368, and although they were 30 less than the previous year, the number of their transactions was greater. The emissions registered only in the real sector (business) came to rise from 89 to 117. Of this total, the 46 that were registered in the commercial sector stand out; 41 in the industrial sector and 15 in the service sector.
The private operations that grew the most were those related to the issuance of commercial invoices. These reached a total amount of $ 271.9 million, versus the $ 62 million of 2017. “They are invoices that investors acquired and for which they had to pay a return that has allowed companies to have a greater liquidity and immediately “, Explained a representative of this market.
Another transaction that most moved the companies was the sale of shares. These increased by 67% going from $ 39.5 million to $ 66.1 million. Credit securitization securities, however, grew 43%, going from $ 158 million to $ 256 million.
The second sector that also reflected a better dynamic was the financial sector, whose amount of operations grew by 90%, going from $ 950 million to 1.807 million. There, on the other hand, stand out deposits in installments, which had a variation of 705 million, and accumulation policies, whose transactions grew by 120 million.
This greater incursion of the private sector injected to the stock markets of the country greater dynamism, but that did not reduce the weight that still continues having the public sector in this market. This despite the fact that last year the state entities came to transact 8% less.
According to official data, in 2017, this sector negotiated $ 4,249 million between government bonds, treasury certificates, Central Bank Securities (TBC) and credit notes, $ 4,249 million, but those same operations fell to $ 3,916 million; that is, 8% less.
One of the main factors of this decline is that last year there was a sharp drop in the negotiation of the TBC, Central Bank Securities. These dropped from $ 204 million to $ 51 million, down 75%.
Another operation that reflected a decrease was the issuance of government bonds. In the stock market, these fell from $ 274 million to $ 153 million, 44% less.
Last year, the stock market moved $ 7,475 million, $ 860 million more than what was registered in 2017. 56.7% was made through the Stock Exchange of Guayaquil.
Companies came to transact 24% more, closing with 1,750 million in operations. What grew the most was the issuance of commercial invoices.
La Fabril, Telefonica, TIA, Pronaca, Inmobiliaria Lavie S. A. and Corporación El Rosado are the firms that have the largest market share. (I)