Wednesday 22 January 2020

Mystery Rally Makes This Turkish Bank Bigger Than All Rivals - Bloomberg

Mystery Rally Makes This Turkish Bank Bigger Than All Rivals - Bloomberg:

A breathtaking rally in QNB Finansbank AS’s shares has made the lender more valuable than all the other listed Turkish banks combined, and traders are struggling to figure out what’s driving the surge.

QNB Finansbank, which is owned by Qatar National Bank, has doubled in value this year, pushing its market capitalization to 254 billion liras ($42 billion). That’s almost five times larger than Turkiye Garanti Bankasi AS, its largest rival, and more than the combined value of all Turkey’s other listed lenders of 237 billion liras. The gains have made QNB Finansbank about the size of Barclays Plc.


The stock is no stranger to wild fluctuations, especially since the QNB takeover in 2016, due to a lack of liquidity. But this year’s moves have been extreme: at some point on Wednesday it was up as much as 174% in 2020. That follows a 316% jump in 2019 after a gain of 63% the year before. Little more than 4 million of the more than 3.3 billion QNB Finansbank shares outstanding are publicly traded, with 99.9% of the stock closely held, according to data compiled by Bloomberg. That exacerbates oscillat

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