11.1. mBank shareholders and share prices on the WSE

mBank shareholders

Commerzbank AG has been the majority shareholder of mBank since 1994. The stake of Commerzbank has been increasing gradually, from 21.0% in 1995 through 50.0% in 2000 to 72.2% in 2003. Starting from 2005, Commerzbank’s stake has declined slightly due to the implementation of the managerial options programme at the Bank. As at the end of 2014, Commerzbank AG held 69.5% of shares and votes at the General Meeting.

The remaining 30.5% of mBank shares in free float are held mainly by financial investors (Polish pension funds, Polish and foreign investment funds). In 2014, the major one was ING Otwarty Fundusz Emerytalny, which before December 10, 2014 held 2,126,430 shares comprising 5.04% of mBank’s share capital. On December 10, 2014 ING OFE informed of holding 2,085,679 shares of the company, i.e. 4.94% of its share capital.

The second major mBank shareholder was AVIVA Otwarty Fundusz Emerytalny Aviva BZ WBK (Aviva OFE), which decreased its share in the total number of votes in the Bank below 5%. As at July 30, 2014 the share of Aviva OFE in the mBank share capital was 4.996%.

The charts below present the geographical allocation and type of investors in mBank shares at the end of 2014.

 

Quotations of mBank shares in 2014

As of December 31, 2014, the following characteristics of mBank shares can be highlighted:

  • Nominal value per share: PLN 4.00
  • Registered share capital: PLN 168,840 thousand, paid up in full.
  • mBank shares have been listed on the Warsaw Stock Exchange (WSE) since 1992.
  • mBank shares are part of the following WSE indices: WIG, WIG-Poland, WIG20, WIG30 and WIG-Banki; the shares also participate in the derivative indices based on WIG20.

In 2014, the total number of mBank shares increased by 36,044 shares issued as part of an incentive programme. Consequently, the registered share capital increased by PLN 144.2 thousand.

Quotations of mBank shares in 2014 should be analysed in the context of the situation on the Warsaw Stock Exchange and other worldwide stock markets.  

In 2014 the main indices on the WSE: WIG and WIG20 did not report major changes. WIG grew slightly by 0.3%, while WIG20 decreased by 3.5%.  mWIG40, the index of 40 medium-sized enterprises quoted on the WSE main market, profited most growing by 4.1% on an annual basis. Small enterprises performed much worse. WIG250, the index of small enterprises, which was withdrawn at the end of 2014, dropped by 16.8%.  WIG-Banki Index decreased by 0.7%.

This means that the Warsaw Stock Exchange did not experience the bull market reported in the US, where the S&P500 Index grew by 12.7%, Dow Jones Industrial by 8.8%, and Nasdaq Composite by 14.8%. The Tokyo based Nikkei225 Index gained 7.1% in value. European markets reported worse results - Frankfurt (DAX +2.7%), Paris (CAC40 -0.5%) and London (FTSE250 +0.9%). EURO STOXX Index, grouping 50 largest enterprises from the Eurozone countries, was up by 1.2% at the end of 2014 compared to 2013; whereas EURO STOXX Banks Index fell by 4.9% in 2014 .

Stagnation that could be observed in the WSE in 2014 resulted from internal and external factors. 

The balance of power on the WSE changed in 2014. Disassembly of open-ended pension funds led to a fall in demand for Polish shares from the largest domestic investors, what mostly affected small and medium sized enterprises.  At the same time the flow of capital to the share market was effectively blocked by the bull market of treasury bonds that lasted throughout the entire year. It was strongly affected by deflation pressure in Poland and other European countries and the strategy of investing in safer assets as a result of a tense situation in the East.

Limited flow of external capital to the WSE results mainly from high investment risk due to the Russian-Ukrainian conflict. It is also a consequence of a relatively strong and stable zloty, making the shares of Polish companies less attractive to foreign investors.

Quotations of mBank shares on the WSE in 2014 followed the trend of main WSE indices. The closing price per mBank share during the last session in 2014 (30 December) stood at PLN 498.0. This represents a decrease by 0.4% compared to the price reported at the last session in 2013 (PLN 500), and an increase by 3.0% compared to the dividend-adjusted price at the end of 2013. The lowest price per mBank share was reported on August 12, 2014 (PLN 442.1), while the highest price was reached on February 28, 2014 (PLN 545.0).

Capitalisation at the end of 2014 reached PLN 21.0 billion (EUR 4.9 billion).

Quotations of mBank shares in 2014 against WIG-Banks and Euro STOXX Banks indices

 

Change

2013

Q1 2014

Q2 2014

Q3 2014

Q4 2014

2014

mBank

+53.4%

+7.8%

-6.3%

-2.6%

+1.2%

-0.4%

WIG-Banki Index

+20.5%

+9.2%

-7.1%

+7.0%

-8.4%

-0.7%

EURO STOXX Banks Index

+25.9%

+9.8%

-5.6%

+1.8%

-9.9%

-4.9%

prev next