Reduction of state share in Kazakhtelecom JSC to 25%+1 share within the next few years is not forecasted - Samruk

/INTERFAX-KAZAKHSTAN, Astans, December 1, 06, title of IRBIS/ - Reduction of state share in Kazakhtelecom JSC to 25%+1 share within the next few years is not forecasted in view of requirements of the acting legislation of the republic relative to foreign participation in capital of domestic companies of the telecommunication sector, stated in Kazakhstan holding on managing state assets Samruk JSC. "Firstly, adoption of the decision about further privatization of Kazakhtelecom is an exclusive prerogative of the government. Second, I can officially claim that in the near future reduction of the state share in Kazakhtelecom to 25% pus on share is not planned," imparted to the agency Interfax-Kazakhstan Beybit Akhabayev, the director of the group Samruk in Kazakhtelecom JSC (the chairman of the Board of directors of Kazakhtelecom). "Any way, - he added, - within the next one-two years it is not planned to be done. Those terms, which I talk about, are relative enough. Again this is an absolute prerogative of the governmentю" Commenting on earlier made statement of Sauat Mynbayev, the chief executive of Samruk, about the possibility of the reduction of state-owned shareholding in Kazakhtelecom to 25%+1 share, B. Akhabayev noted that the matter concerns the offer of the state holding within the frameworks of the long-term period. "When we talked about a possible decrease (of the amount state-owned shareholding. - "IF-K"), this was all the same theoretical. The issue was about the long-term perspective, but not short terms and, possibly, not intermediate- term period. But it is very precise that in the near future this will not happen," he stressed. Meanwhile, a representative of Samruk noted "from the standpoint of protection of state's interests, we consider that 25% plus one share are enough for protection of state's interests." "It's quite another matter, - he continued, - that this conflicts with the law about the national safety, in which it was absolutely clearly written that nonresidents can control not less than 49% of shares of the national communication statements." "Since there are no special mechanisms of shares turnover, which would trace whether they are bought by a resident and a nonresident, accordingly, accepting such matters (that is, the reduction of the state-owned shareholding to not less than 51%. - "IF-K") directly conflicts with the existing law," summarized B. Akhabayev. Kazakhtelecom is the leading communication statement of Kazakhstan, which takes the dominating position at the domestic telecommunication market. Shareholders with ownership of common shares of Kazakhtelecom JSC as of July 1 are Samruk (55.6%), BODAM B.V. (16.9%), The Bank of New York (10.2%), Сentral Аsian Industrial Holdings N.V. (9.6%). At the same time, in accordance with the resolution of the government dated October 17, 2006, a decision about sale of 4.6% of voting shares of Kazakhtelecom at the domestic market of the republic was adopted - in all 497597 items, which belong to Samruk. Given so-called "public" offering will take place in December and is oriented to the sale of shares to the population of the republic. Thus, in case of sale of the whole mentioned shareholding (4.6%) Samruk will have left the controlling stake (51%) of Kazakhtelecom. [2006-12-01]