Gielda Papierow Wartosciowych w Wrszw : Catalyst Keeps Growing at a High Pace

Catalyst Keeps Growing at a High Pace
PRESS RELEASE

• The value of non-Treasury bonds listed on Catalyst grew 17% in 2017 breaking an all-time record, according to a report published by Grant Thornton under the auspices of GPW
• Catalyst becomes increasingly popular as demonstrated by the value and number of listed debt instruments

Catalyst broke all-time records in 2017. According to a report published by the audit and consultancy firm Grant Thornton under the auspices of the Warsaw Stock Exchange, issuers raised PLN 12.3 billion in bond issues on Catalyst in 2017 (an increase of 148% year on year) and the market grew by PLN 14 billion year on year in 2017. These are all-time records after 2012 when issuers raised PLN 10.7 billion. The total value of non-Treasury fixed-income instruments listed on Catalyst stood at PLN 95.8 billion as at 31 December 2017, representing an increase of 50% in the last three years.

'This September marks the ninth anniversary of Catalyst. This has been a period of focused development of the market which has become increasingly popular with issuers year after year. Catalyst-listed bonds are an effective source of growth financing for issuers. The situation on the Polish debt market suggests a growing awareness of the benefits of a strong public market, such as Catalyst, as well as the risks of non-public issues which are not listed. We make best efforts to ensure that Catalyst serves both companies and investors. We will continue to offer the broadest possible range of instruments and services on the debt market,' said Jacek Fotek, Vice-President of the Warsaw Stock Exchange.

The growing popularity of Catalyst is proved not only by the value but also the number of debt instruments. In 2017, the number of corporate bonds increased by 8.3%, the number of covered bonds by 13.3% and the number of municipal bonds by a record-high 10.2%. Only the number of co-operative bonds decreased (by 5.6%), as it had in 2016. Excluding Treasury bonds, the number of all debt instruments listed on Catalyst totalled 567 series as at 31 December 2017, which was 43 series more than in 2016.

'The corporate and local government bond market in Poland is no longer seen as a novelty and it has become a natural and important part of the Polish business environment. Although the market is not risk-free, it certainly offers an interesting alternative to both investors and issuers,' said Paulina Zalewska-Wichrzycka, Advisor at Grant Thornton.

The development of Catalyst has made Poland the CEE leader in terms of using bonds as a source of capital by companies. The number of bond series listed on Catalyst at the end of 2017 was twice as high as the combined number of bonds listed on the three most important regional markets which are Catalyst's peers: the Czech Republic, Hungary and Romania.

Figure. Number of bonds issued on CEE exchanges

Source: Grant Thornton research based on FESE data

***

The Warsaw Stock Exchange (GPW) is the biggest exchange in Central and Eastern Europe and organises trade on one of Europe's fastest growing capital markets. GPW operates a regulated equities and derivatives market, as well as NewConnect, an alternative trading platform for growing companies. GPW is also developing Catalyst, a market for corporate and municipal bond issuers. The Polish Power Exchange (TGE), a member of the GPW Group since February 2012, offers trade in electricity, natural gas, property rights and guarantees of origin and CO2 emission allowances. Since 9 November 2010, GPW is a publicly traded company listed on the Warsaw Stock Exchange. For more information, visit www.gpw.pl/en-home.

***

Grant Thornton is a leading global auditor and consultancy. The expertise, experience and engagement of more than 3,000 partners and 42,000 employees of Grant Thornton are available to clients in more than 130 countries. We have been present in Poland for 24 years; our 400-strong team and footprint in the key cities (Warsaw, Poznań, Katowice, Wrocław, Kraków and Toruń) ensure close relations with clients and enable the implementation of demanding projects including audit, tax advisory, business and legal consultancy, and outsourcing of accounting, HR and payroll services for clients of all sizes, sectors and locations. We have more than 1,000 clients including several dozen GPW-listed companies and top 500 Polish companies. Grant Thornton is the exclusive partner of Grant Thornton International in Poland. For more information, visit http://www.grantthornton.pl/.

Grant Thornton International Ltd. (GTI) is one of the world's leading organisations of accountancy and consulting companies which offer assurance, tax advisory, and specialised consultancy services for private businesses and public interest entities. For more information, visit http://www.gti.org.pl/