Thus changed the price of OTP shares to the news of the Change Change
Held his regular annual assembly on the morning of 25 April The largest Hungarian financial institution, OTP Bank. However, the General Assembly was unexpected by an unexpected announcement. It can be said without exaggeration that such important personal news has not been given to shareholders for 33 years. In 1992, Sándor Csányi became President and CEO of OTP Bank. Then his name coincided with OTP. It is associated with the process that resulted in OTP a significant international bank group.
The most important personal news of the past 33 years
At the current general meeting, it turned out that after three decades, the position of president and CEO would be separated. Sándor Csányi is resigned from the position of CEOand gives it to his son, Peter Csányi. However, Sándor Csányi remains the strategic manager of OTP as he retains the position of president.
Sándor Csányi will not be CEO of OTP from May
The announcement was not completely unexpected, as Péter Csányi has been increasingly important in OTP Bank in recent years. Last time He has become deputy chief executive. So it was clear that Sándor Csányi was preparing for step by step his succession and the transfer of daily bank management. However, information did not leak in advance that this would happen now.
The Prime Minister has demonstrated his support with his personal presence
It was noticeable before the start of the General Assembly was going to happen, as Prime Minister Viktor Orbán also appeared at the event. OTP is not only the largest bank in Hungary, but also the most important player in the Budapest Stock Exchange, with a lot of Hungarian wealth depending on how much the OTP share is worth.
The impact of such a announcement on stock prices is key to many small investors. Sándor Csányi’s departure from the post of CEO could have caused a significant fall, which would have taken billions from shareholders’ pockets in minutes.
The exchange rate movement following the announcement of the decision clearly showed that the stock market was not shocked by the news. Obviously, Sándor Csányi remains the president of the bank and his son was already deputy leader. The exchange rate evolution shows that market participants have accepted new control. They are not afraid that OTP’s position and results will become less unfavorable.
The Prime Minister played an important role in this reassurance and acceptance. Viktor Orbán demonstrated the government’s consensus and support with his personal presence and congratulations. The seemingly lack of this could have been uncertain about the stock market.
Even increased the exchange rate after the announcement
Following the announcement on the Budapest Stock Exchange, even after a very short fall, even after a very short fall, it even rose OTP share price. In the afternoon, the exchange rate was around 26,400 HUF. This represents an increase of almost 2 percent compared to the closing price of the previous day.
So if someone didn’t know what they were announced at today’s General Assembly, they would only look at the exchange rate, then this would make a positive news in the background. Thus, OTP leadership has been able to communicate well with the most important personal change of the last 33 years. Have been able to persuade shareholders to continue They keep their money in the right place in the bank’s papers.
