Magyar Telkom, the leading Hungarian telecommunications service provider became the latest European to delist its ADRs from the New York Stock Exchange. The ADR which used to trade under the ticker MTA was delisted as of November 11, 2010.
Effective 11/12/20, the ADR will trade on the Level 1 category on the OTC markets with the ticker MYTAY.
The company majority owned by Germany’s Deutsche Telecom (DTEGY) made the announcement to delist back in June. The reason for the delisting is “to reduce complexity in financial reporting and administrative costs. The Company remains committed to serve its investor base in the United States, as well as to comply with the highest standards of corporate governance, and to provide transparent financial reporting.” It may noted be that Deutsche Telecom already delisted from the NYSE and now trades on the OTC markets as well.
With this delisting, none of the Hungarian companies are trade on the NYSE. The other four Hungarian ADRs that trade on the OTC are Fotex (FOTXY), Genesis Energy Investment (GEIVY), MOL Magyar Olaj-ES Gazipari (MGYOY) and Pannonplast (PNPSY).
At the closing price of $14.33 yesterday the stock pays a hefty dividend of 11.60%. In addition to providing fixed-line telecom services in Hungary, Magyar Telekom also offers services in Hungary, Macedonia and Montenegro and acts as an alternative service provider in Bulgaria, Romania and in Ukraine.
Disclosure: No positions
