On LSE in expectance of IPO of Kazakhstan companies

/INTERFAX-KAZAKHSTAN, London, June 15, 06/ - At London stock exchange (London Stock Exchange, LSE) IPO of companies from Kazakhstan are awaited. "Interest from Kazakhstan is present. Many (Kazakhstan - I-К) of issuers are interested in information of products of London (LSE - I-К). They come here to communicate with us. They come in the conferences, which we (LSE - I-К) organize in Kazakhstan, in Russia and in London, - LSE's manager in CIS- countries, Central and Western Europe, Svetlana Rozanova informed to the group of Kazakhstan journalists in the course of press tour on LSE, which takes place these days. She emphasized that London stock exchange is ready to provide Kazakhstan companies, which are ready to holding of IPO, with a range of competitive bids in comparison with other world exchange's offers. "Offers of London remain as strong as they used to be for the issuers", - she said. In particular, LSE is ready to offer two markets: principal (supports actions on mobilization of capital of more stable companies, currently - of 1658 issuers) and alternative (AIM, for the companies in the early stage of development, in the beginning of the period of their augmentation, 1501 issuers). S. Rozanova emphasized that principal and AIM-markets have different structures, which can be chosen by different types of companies for borrowing of investors' funds. So, she explained, on AIM-market the regulation is implemented by stock exchange, there is no demand for description of trade transactions for previous years, no demand for minimal quantity of shares in public circulation, in majority of cases no preliminary approval of shareholders is required for transactions. As a rule, S. Rozanova noted, assigned consultant carries out preliminary consideration of documents, neither stock exchange nor listing department of Great Britain (UKLA). Meanwhile, in the principal market of LSE, she continued, UKLA preliminarily considers the documents of companies by minimum - 25% of shares of which should be in public ownership; for some transactions preliminary approval of shareholders is required, including sponsors, whom as usual represent commercial banks. Besides, she added, the description of trade transactions of the companies for last 3 years is required. S. Rozanova emphasized that, exactly, in London "international pool of capital" is concentrated. "Very large part of liquidity is concentrated in London. For example, turnovers on Russian papers last year were $80 bn.", - she said, adding that in 2005 LSE took 70% of market share of IPO of West-European companies, having determined other European trade sites. "If the company considers (for holding of IPO. - I-К) Chinese stock exchange ore stock exchange in Dubai (oil exchange - I-К), then there will be only definite circle of local investors", - S. Rozanova noted. In the principal market of LSE, at present, Kazakhmys, Kazakhgold and Kazkommertsbank are traded, working in Kazakhstan. Meanwhile, there are 28 companies on AIM-market of London stock exchange, acting, mainly, in CIS-countries, in particular, Celtic Recources, Eureka Mining, Max Petroleum, Victoria Oil. [2006-06-16]