Investors Sell Assets to Cope with Market Slump Skip to content

Investors Sell Assets to Cope with Market Slump

By Iceland Review

Icelandic investment company Gnúpur announced yesterday that it had reached an agreement with its creditors and sold its main assets, including a large stake in FL Group and Kaupthing Bank.

Holding company Fons was among buyers of Gnúpur’s share in FL Group, Morgunbladid reports.

Investors are suffering from the ongoing plummet of the selected share index on the OMX Nordic Stock Exchange in Iceland. According to the Financial Supervisory Authority (FME), 730 margin calls were made between December 6, 2007, and January 4, 2008.

It seemed that OMX would experience yet another record drop in shares yesterday, but shortly before closing the selected share index jumped, so the outcome was a 3.3 percent drop.

So far this year, the selected share index has plummeted by 13.4 percent and the market value of companies that are included in the index has decreased by ISK 360 billion (USD 5.7 billion, EUR 3.9 billion).

Most indexes in European stock markets fell yesterday, but in the US, indexes rose considerably.

Click here to read more about the Icelandic stock market.

Sign up for our weekly newsletter

Get news from Iceland, photos, and in-depth stories delivered to your inbox every week!

* indicates required

Subscribe to Iceland Review

In-depth stories and high-quality photography showcasing life in Iceland!