Kazakh stock exchange offers Mangistau Electricity Distribution Network Company shares
Astana, Kazakhstan, Nov.25
By Daniyar Mukhtarov - Trend:
Reception of requests for the purchase of shares of Mangistau Electricity Distribution Network Company JSC (MEDC) through the Kazakh stock exchange (KASE) opened in November, the JSC press service reported.
"24 percent + 1 share of MEDC are put for secondary offering by a major shareholder of the enterprise, Samruk-Energo JSC," said the press release.
Pre-placement price of common shares of Mangistau Electricity Distribution Network Company JSC is 5 147.8 KZT ($1-180, 87 KZT). The common shares of the company are listed on KASE, the official list of securities and are registered under national identification number (NIN) KZ1C24600013.
"MEDC JSC will implement two major projects with a total investment of 13.2 billion KZT in order to improve the reliability of electricity supply of oil and gas fields, as well as provide the electricity needs for the future," said the statement. "The first project is the construction of 220 kV overhead Aktau-Karazhambas line. The project cost is 6, 8 billion KZT. The date of completion of construction is scheduled for 2016."
The second is the construction of 220 kV overhead Aktau-Uzen line, the cost of the project is 6.4 billion KZT. The date of completion is scheduled for 2017.
It was previously reported that the message of the President Nursultan Nazarbayev on January 17, 2014 contained an instruction to transfer a number of companies of Samruk-Kazyna JSC into a competitive environment. A comprehensive privatization plan for 2014-2016 was approved March 31, as well as a list of subsidiaries, affiliate organizations of the national managing holdings, national holding companies and other legal entities that are affiliated with them and offered for transfer into the competitive environment.
MEDC JSC was established in 1996, and is the largest power distribution company, which provides transportation of electricity to consumers of Mangistau region (excluding Aktau). It has the status of a subject of a natural monopoly.
Key investment highlights: Some 98 percent of consumers are represented by legal entities, including large industrial consumers of oil and gas sector; stable dividend payments, at least 15 percent of the net profit; growth in sales volumes and revenue by 70 percent compared to 2010; net profit growth from 58.3 million KZT to 1156 million KZT for 2010-2013; low level of technical losses in networks - the best indexes among Kazakh EDC (electricity distribution companies).