Today, Føroya Banki signed a market-making agreement with Saga Capital
Investment Bank hf (Saga).
Saga will, for its own account, act as market maker for Føroya Banki's shares
on the NASDAQ OMX Nordic Exchange in Iceland and in Copenhagen, as specified in
a market-making agreement.
Saga will submit daily bid/ask offers valid within the day for Føroya Banki
shares before the market opens.
The purpose of this agreement is to improve liquidity in the Company's shares
on the NASDAQ OMX ex-change in Iceland and the NASDAQ OMX exchange in
Copenhagen (“NASDAQ OMX”) in order to promote the development of a market price
and to encourage effective and transparent price formation.
The terms of the market making agreement are as follows:
· Saga Capital will submit daily bid and offer quotes for shares in Føroya
Banki for a minimum of 1,000 shares at a price determined by Saga Capital
· The amount of bid and offer quotes shall be divided on the two markets, 500
on each market
· Maximum bid/ask spread shall not exceed 1.25% and the deviation from the last
transaction price shall not exceed 2.0%
· The maximum obligated total trades per day is DKK 5,000,000 market value
· The agreement is effective as of 1 September 2008
