11th Dec 2008 11:31
11 December 2008
Signing of the Memorandum of understanding
between the Government of the Republic of Kazakhstan and Halyk Bank
On 30th October 2008, the Joint Stock Company 'Halyk Savings Bank of Kazakhstan' (Halyk Bank) (LSE: HSBK) published its Press release (RNS Number: 0828H) concerning preliminary discussions with the Government of the Republic of Kazakhstan and the National Wealth Fund SamrukKazyna (SamrukKazyna) on a strategic partnership in supporting the growth of the economy's real sector.
The Memorandum of Understanding (MoU) between the Ministry of Finance, the Financial Supervision Agency, the National Bank, SamrukKazyna acting on behalf of the Government of the Republic of Kazakhstan and Halyk Bank, as well as its controlling shareholder, has now been signed and dated 1st of December 2008.
The final realisation of the MoU will be performed subject to execution and signing of the Implementation Documents between SamrukKazyna, Halyk Bank and its controlling shareholder.
In accordance with the MoU, the sum of financing available for Halyk Bank will amount to USD 500 million. After the existing shareholders and holders of global depository receipts exercise their preemptive purchase rights, SamrukKazyna will be able to buy the common shares for which the rights have not been exercised for the amount up to 25 percent of total common shares. All procedures in connection with the capital increase will be governed by the Law "On Joint Stock Companies", the Listing Rules of the Kazakhstan Stock Exchange and other laws and legislative acts of the Republic of Kazakhstan, the Listing Rules of the London Stock Exchange and international agreements signed by Halyk Bank.
The difference between the sum of financing available for Halyk Bank and the amount received from SamrukKazyna for common shares in Halyk Bank could be used as additional capital in the form of preferred shares and subordinated debt.
The controlling shareholder of Halyk Bank which signed the MoU will have the right to buy back Halyk Bank's shares from SamrukKazyna, during a four-year period beginning one year from the date of signing of the Implementation Documents.
About Halyk Bank
Halyk Bank is one of Kazakhstan's leading financial services groups and a leading retail bank with the largest customer base and distribution network among Kazakhstan banks. The Bank is developing as a universal financial group offering a broad range of services (banking, pensions, insurance, leasing, brokerage and asset management) to its retail, small and medium enterprises and corporate customers. Halyk Bank is rated by the three main rating agencies: Moody's Investor Service (Ba1), Fitch Ratings (BB) and Standard&Poor's (BB+). As at 30 September 2008, Halyk Bank had 706 outlets, 1,665 ATMs and 4,114 POS terminals.
For further information please contact:
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Halyk Bank
Zhanara Aikimbayeva Director, International Department Assel Atinova Head, Financial Institutions |
+7 727 259 07 96 +7 727 259 04 30 |
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