Preliminary agreement on acquisition of Kazakh BTA Bank reached

Business Materials 24 December 2013 13:55 (UTC +04:00)

Astana, Kazakhstan, Dec.24

By Demir Mukhtarov - Trend:

Kazakh Sovereign Wealth Fund joint-stock company Samruk-Kazyna and a consortium consisting of Kazkommertsbank and businessman Kenes Rakishev reached a preliminary, rather than a binding agreement for the sale and purchase of BTA Bank's shares, Samruk - Kazyna reported on Monday.

'According to the preliminary agreement, Kazkommertsbank and Kenes Rakishev acquire equal stakes at BTA Bank', according to the message. 'The fund intends to retain a minority shareholding in the bank's capital. It is assumed that the structure of the transaction should provide an opportunity for Kazkommertsbank to monitor BTA Bank's activity'.

After the consortium acquires BTA Bank's shares, the parties intend to initiate the procedure of joining Kazkommertsbank and BTA Bank to ensure their stable and dynamic development, according to the press release.

The parties intend to obtain the necessary corporate decisions and permission of authorised bodies and other agreements taking into account existing obligations on the previously signed contracts and issued securities to complete the negotiations and sign the documents for the transaction.

As of September 30, 2013, BTA Bank's assets amounted to 1.608.5 billion tenge ($1-152.72 tenge), equity - 296 billion tenge and net income - 24.1 billion tenge.

Translated by NH
Edited by SM