Strong demand through AIX from both local and international investors
On September 26, 2019, Kazakhstan Sovereign Wealth Fund Samruk-Kazyna (“Samruk-Kazyna”) sold 9.86 million global depositary receipts (GDRs) representing interests in ordinary shares of JSC NAC “Kazatomprom” (Kazatomprom) by way of an accelerated bookbuild through the London Stock Exchange (“LSE”) and the AIX.
Samruk-Kazyna has sold an aggregate of 9,863,021 GDRs (each GDR representing interests in 1 ordinary share of Kazatomprom) at a price of USD 13.00 per GDR. The breakdown of the sale was as follows:
| Exchange | Investors | GDR’s | Sales Proceeds (USD) | % |
| LSE | 4,840,000 | 62,920,000 | 49 | |
| AIX | 5,023,021 | 65,299,273 | 51 | |
| International | 1,660,000 | 21,580,000 | 17 | |
| Local | 3,363,021 | 43,719,273 | 34 | |
| Total | 9,863,021 | 128,219,273 | 100 |
CEO of AIX, Tim Bennett, commented:
“The results of the placement validate the decision to establish AIX as an integrated market for local and international investors in Kazakhstan and shows the progress AIX has made in developing the market over the past year. Not only was all the local investor demand satisfied, more than 50% of the demand for yesterday’s secondary offering came through AIX, with one-third of that demand coming from international investors”.
In total local investors bought USD 43.7M in the secondary offering compared to USD 63.8M in Kazatomprom’s IPO in November 2018.
Mr. Bennett commented: “This is a significant achievement and it reflects the good progress being made in developing the local investor base”.
J.P. Morgan Securities plc acted as a sole global coordinator for the Placing and joint bookrunner in connection with the LSE Placing, Halyk Finance JSC is acted as coordinator of the AIX Placing and joint bookrunner of the AIX Placing, and Renaissance Capital is acted as joint bookrunner for the LSE Placing and the joint bookrunner for the AIX Placing, all of whom were responsible for arranging the offering for both international and domestic investors.
Trading in shares of Kazatomprom and conditional trading of Global Depository Receipts of Kazatomprom commenced on AIX on the 14th and the 19th of November 2018, respectively, at a price of USD 11.60 per global depositary receipt.
Reference information:
AIX was formed in 2017 within the Astana International Financial Centre development framework. AIX shareholders are AIFC, Goldman Sachs, the Shanghai stock exchange, the silk Road Fund, and NASDAQ, which also provides the AIX trading platform. The exchange operates within a regulatory environment based on the principles of English common law, thus providing a reliable investment environment. The mission of AIX is to develop an active capital market in Kazakhstan and the region by providing clear and favorable conditions for attracting financing to private and public businesses. AIX develops special segments for mining companies as well as infrastructure projects under the Belt and Road initiative. More details: www.aix.kz
AIFC. Astana International Financial Center (AIFC) was established on the initiative of the First President of the Republic of Kazakhstan Nursultan Nazarbayev. The constitutional law establishing the AIFC was signed on December 7, 2015. The aim of the AIFC is to form a leading center of international financial services. The objectives of the AIFC are to assist in attracting investments into the country’s economy, create an attractive environment for investment in financial services, develop the securities market of the Republic of Kazakhstan and ensure its integration with international capital markets. www.aifc.kz
Media Contact
Yelena Pak
Head of Communications
Tel: +7 (7172) 23 53 94
Email: [email protected]