Baku, Azerbaijan, March 26
By Ali Mustafayev – Trend:
Government of Kazakhstan will sell its stake in the country's seven largest companies by the end of 2020, said Minister of National Economy of Kazakhstan Timur Suleimenov at a meeting of the parliament on March 26.
"We pay particular attention to privatization of seven largest national companies, three of which are already being prepared for possible IPO (initial public offering)/SPO (secondary public offering) deals. In particular, we consider the possibility of selling shares in Kazakhtelecom by the end of the first half of 2018, as well as holding IPOs of Kazatomprom and Air Astana by the fourth quarter of 2018. The final terms of placements will be defined taking into account the financial conditions of the companies, the macroeconomic situation and prices of raw materials in international market," the minister said, Kazakh media reported.
Suleimenov added that the government also works to define key parameters for IPOs/SPOs for KazMunaiGas, Samruk-Energo, Kazpost and Kazakhstan Railways, planned to be held in 2019-2020.
One of the main goals of Kazakhstan in holding IPOs is to develop the internal share capital market and ensure its liquidity, and for this reason, the priority option of the country’s government is to place shares at the Astana International Financial Center (AIFC).
"We also consider the simultaneous listing of shares in foreign exchanges in the form of depositary receipts, which is expected to provide additional liquidity, as well as fuel the interest of foreign investors in shares of Kazakh companies," Suleimenov said.