Corporate Finance Deals

As a leading investment bank in Central Asia, Kazkommerts Securities has participated and lead managed the largest and most significant transactions on raising finance for regional entries.

Selected Tombstones

 

  
US $ 52,000,000
9% Notes due
2002
July 2000
Lead manager and
Bookrunner
 

 

  
US $ 30,000,000
9% Notes due
2003
November 2000
Lead manager and
Bookrunner
 

 

  
US $ 20,000,000
11% Notes due
2003
December 2000
Lead manager and
Bookrunner
 

 

  
US $ 20,000,000
11% Notes due
2007
December 2000
Lead manager and
Bookrunner


 

  
1st Level
ADR/GDR
Program
June 1999
Advisor
 

 



  
Strategic Sale
of 51% stake

October 1998
Advisor
 

 



  
US $ 20,000,000
10% Notes due
2006
October 2001
Lead manager and
Bookrunner
 

 

  
ADR/GDR
Program

December 1998
Advisor


The details of our corporate transactions are provided below:


Kazkommerts Securities acted as a co-manager of three sovereign issues of Eurobonds for the Republic of Kazakhstan in 1996, 1997 and 1999.
In November 2001, Kazkommerts Securities acted as a co-lead manager for two issues of municipal bonds for Atyrau regional administration. The total volume of the issues exceeded US$17 million. The issue became the largest in volume and longest in tenure among all previously issued municipal issues.



In May 2002 Kazkommerts Securities acted as a co-manager for the second Eurobond issue of OJSC Kazkommertsbank. The issue in the amount of USD 150 million was placed primarily among foreign investors.
In December 2000 Kazkommerts Securities acted as a lead manager in bond placement for Kazkommertsbank on domestic security market. Bonds issue with a volume of USD 20 million was successfully placed among largest institutional investors in Kazakhstan.
Kazkommerts Securities was one of the lead managers in organization of the depositary receipts program for OJSC Kazkommertsbank, which was the first Kazakh issuer to pursue such a program.
In May 1998 Kazkommerts Securities acted as a co-manager in the first Eurobond issue of a non-governmental issuer, OJSC Kazkommertsbank. The Eurobonds were traded on both domestic and international markets and matured in 2001. Kazkommerts Securities also cooperates with a considerable number of companies affiliated with Kazkommertsbank. Kazkommerts Securities was involved in financial analyses, preparation of business plans and commercial appraisal of various businesses including production of fertilisers, construction materials, food products, mass media, all of which are successfully operating in Kazakhstan.



 

In November 2000 Kazkommerts Securities acted as a lead manager in issue and placement of bonds for CJSC KazTransOil, national oil transportation company. The issue volume was USD 30 million and was successfully placed on the local market.
In July 2001 Kazkommerts Securities co-lead managed the first eurobond issue for KazTransOil in the amount of USD 150 million. This eurobond issue was the first for a CIS corporation after the Russian financial crisis of 1998.



In July 2000 Kazkommerts Securities acted as a lead manager in issuance and placement of bonds for Kazakhoil, national oil and gas company. With total volume of USD 25 million the issue was successfully placed on the local market.



Kazkommerts Securities acted as an exclusive advisor in debut issue and placement of bonds for JSC Almaty Kus. With volume of USD 4.5 million it was the first corporate bond issue of an industrial company, which was successfully placed on the local market. The bonds matured and were successfully redeemed in April 2001.
In May 2001 Kazkommerts Securities became an exclusive consultant in placement of the second bond issue of Almaty Kus in the volume of USD 20 million.



Kazkommerts Securities acted as an exclusive manager in issue and placement of bonds for JSC Karazhanbasmunai, one of the largest oil and gas enterprises of Caspian shelf. Issue volume amounted to USD 20 million and was successfully placed in February 2001. This issue is the first successful bond placement for a fully foreign-owned company on the domestic securities market.
Kazkommerts Securities also acts as an advisor to Karazhanbasmunai in performance of its investment program and corporate finance. Kazkommerts Securities developed mutual co-operation with Karazhanbasmunai and its strategic investor, the Canadian oil company Nations Energy Company Ltd. and assists the company in adapting to post-privatisation conditions and implementation of effective financial management in the company.



In December 2001 Kazkommerts Securities placed the first bond issue of OJSC Kazakhtelecom in the volume of USD 25 million on the domestic market. Early in 1998 Kazkommerts Securities acted as a financial advisor in acquiring 40% of Kazakhtelecom shares from Daewoo (Korea). Furthermore, Kazkommerts Securities organized a private placement of 10% of Kazakhtelecom common shares among foreign investors. The transaction was the largest equity placement in the secondary securities market of Kazakhstan with total amount exceeding 100 million US dollars. In April 1998 Kazkommerts Securities arranged an issue of rule 144A and Regulation S American and Global Depository Receipts for Kazakhtelecom shares. In June 1999 Kazkommerts Securities organized upgrade of Kazakhtelecom's depository receipts to the first level. This was the first program of first level depository receipts program for a Kazakh issuer, which allowed Kazakhtelecom to increase liquidity of its shares and to increase the investor base. At present, the depository receipts of Kazakhtelecom are successfully traded on the leading European stock exchanges and on the OTC market.



Kazkommerts Securities was involved in issuance and placement of American and Global Depository Receipts of JSC Shymkentnefteorgsynthes on the stock market, and is one of its financial advisors on issues of strategic development.



Kazkommerts Securities acted as a financial advisor for JSC Kazakhtelecom in the sale of 51% of shares in LLP GSM Kazakhstan (K-cell) to a strategic investor. GSM Kazakhstan is the first mobile communications company working in GSM standard.



In September 1998 Kazkommerts Securities arranged an issue of depository receipts for JSC Ust-Kamenogorsk Titanium and Magnesium plant (UKTMK) on the international and domestic capital markets. It was the first mining company of Kazakhstan to enjoy the advantages of issuing such a liquid financial instrument. In the scope of work with UKTMK Kazkommerts Securities formed tight working relationships with company's management and its strategic shareholder, the Belgian company Specialty Metals S.A.



Kazkommerts Securities acted as an advisor for JSC Kazkommertsbank and JSC Kazakhstan Commerce on the sale of the controlling stake in CJSC KZI Bank to Turkish T.C. Ziraat Bankasi. The transaction was closed in due time and under the best terms matching the interests of the clients and the strategic investor. At present, KZI Bank is one of the largest banks with foreign participation in Kazakhstan.



Kazkommerts Securities advises Concern Seimar, one of the largest food processing companies in Kazakhstan, on issues of raising capital, debt and equity financing as well as the company's strategic development.



At present Kazkommerts Securities advises JSC Kazkommertsbank on the issues of strategic growth and development of Kazkommerts Policy, a subsidiary of Kazkommertsbank operating in the insurance market. Different options of attracting strategic partners to the company are being considered.