Some Russian companies have recently been valued at more than a $100 billion. Now, they are penny stocks.
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While Russia’s stock market has been closed for days by order of the country’s central bank, the dollar-denominated secondary listings of Russian companies in London are still trading. The destruction of market value is astonishing.
Shares in Sberbank (ticker: SBER.U.K.), Russia’s largest bank, have collapsed more than 99% since mid-February, when its stock traded at around $14. In Wednesday London trading, the shares bottomed out at 1 cent and notched an 85% one-day fall.
The bank, which recorded assets of more than $500 billion as of December, had a market capitalization of more than $102 billion six months ago, according to Dow Jones Market Data. It is now less than $190 million, based on a total extrapolated from the London listed-shares.
Stock in the oil giant
Rosneft (ROSN.U.K.) has crumbled 90% in the past two weeks to be worth less than a dollar, while
Lukoil ’s (LKOD.U.K.) share price has crumbled some 99.7% over the same period. Lukoil stock touched 25 cents in late-afternoon London trading.