Market reviews and recommendations of analysts of BCC Invest JSC (Kazakhstan) for March 1, 2010

/IRBIS, March 1, 2010/ - BCC Invest JSC has provided IRBIS with a survey of main events, market reviews and investment ideas for March 1, 2010. Analysts of JSC BCC Invest now expects that the Kazakhstan stock market will experience continued technical rebound after the crash on Thursday against the backdrop of today positive mood of investors in Asia and growth in the commodities markets. Likely to have high activity on the shares of JSC KazMunaiGas EP on the eve of publication of the accounts for the fourth quarter of last year, which is projected JSC BCC Invest, expected after the market closes. JSC BCC Invest also noted the following important events in the Kazakh market: - On Friday, rating agency Fitch Ratings has affirmed the credit rating of Bank CenterCredit, including long-term issuer default rating (Issuer Default Rating) at the level of B with stable outlook. This announcement came after the announcement of the Korean bank Kookmin Bank to increase the share capital of Kazakh financial institution with 30 to 42 per cent and ten per cent of the purchase of shares International Finance Corporation. Rating agency reacted positively to the infusion of capital and increase the share of foreign investors, but this news has already been taken into account in the rating of Bank CenterCredit. According to JSC "BCC Invest", this news is neutral for the ordinary shares of the bank, traded on the Kazakhstan Stock Exchange, as it corresponds to the expectations of investors. Analysts of JSC BCC Invest confirm BUY recommendation on common shares of Bank CenterCredit with a target price at KZT947 per share. - Today, March 1, 2010 JSC Exploration Production KazMunaiGas intends to publish its financial results for the fourth quarter of 2009. Conference call for investors and analysts will be held at 18.00 (time of Astana) (12.00 in London). Projected by JSC BCC Invest, earnings in the fourth quarter of 2009 increased by 65% compared to the fourth quarter of 2008, profit before tax cruising - at 179% and net profit - 79%. After the publication of reports, analysts of JSC BCC Invest if necessary, corrects its valuation model shares of JSC Exploration Production KazMunaiGas and update the recommendations and price targets on shares and depositary receipts of the company. - JSC Exploration Production KazMunaiGas announces the approval of the program redemption of preferred shares of the Company. In accordance with the decision of the Board of Directors, the company intends to implement the program of redemption of preferred shares after their inclusion in the official list of KASE, in amounts up to 4,136,107 shares (100%) in an amount not to exceed 10% of the equity capital of the Company at the date of the decision by the Board, minus the Company's expenses incurred in connection with the repurchase program of ordinary shares and global depositary receipts. The company will implement the program of redemption of preference shares on KASE. It is assumed that buy-back program will be held by a separate series of consecutive 30-day specialized trades in accordance with the requirements of KASE. The program is expected to be completed before December 31, 2011. Listing and buy-back program will allow holders of preferred shares to trading on a transparent and more liquid market for these securities. Currently, the majority of preferred shares owned by KMG EP has over 30 thousand people - including former and current employees and their families. Analysts of JSC BCC Invest are also waiting for the next events in the international markets: - on Russian markets first day of spring in terms of economic statistics will not be particularly rich in the abundance of data published on. In addition to manufacturing PMI index will also be published data on the status of the Reserve Fund and National Welfare in February. Today, most U.S. futures on stock indexes traded in positive territory, so analysts of BCC Invest expect a positive mood at the opening of the morning trading session in Russia due to a favorable external background. - on European markets in addition to data on unemployment Euro zone in January, in terms of macroeconomic statistics, on Monday the greatest interest will be the PMI manufacturing indices Germany and France. Plus, the first working day of the week will publish the main economic data of Italy at the end of 2009, including statistics on the growth of the economy and the ratio of budget deficit to GDP. Despite the fact that the country poses no threat in terms of credit problems, the market may respond significantly to the Italian statistics, in the case of serious discrepancies with the predictions of analysts. In the UK, in addition to release of the February manufacturing index PMI, no significant statistics are not expected. - on the U.S. markets today in the United States will not be published, no important macroeconomic statistics, and the only event that can affect the mood of North American investors, will be a morning speech by Ben Bernanke before the House Financial Services Committee (House Financial Services Committee), which will discuss the rise in unemployment and need for intervention, fiscal measures. In addition, auctions will be scheduled on the primary placement of 4-week, 3-and 6-month treasury bill, the level of demand which will show interest in risk-free assets among investors. Analysts of BCC Invest JSC are giving the following advice for investors in securities of issuers in internal market: ---------------------------------------------------------------------- Issuer Last price Target Predicted price, code price % Recom- mendation ----------------- ------- ---------- ------ ---------------- --------- Kazkommertsbank KKGB 595 695 +16.72 Hold KKGBp 245 347 +41.76 Hold Halyk Bank HSBK 342 335 -2.05 Hold Bank CenterCredit CCBN 730 947 +29.73 Buy KazMunaiGaz RDGZ 21,670 21,100 -2.63 Hold Kazakhmys PLC GB_KZMS 3,000 3,528 +17.60 Hold ENRC PLC GB_ENRC 2,245 2,709 +20.67 Buy Kazakhtelekom KZTK 17,530 17,800 +1.54 Hold KZTKp 8,000 10,300 +28.75 Buy ---------------------------------------------------------------------- The given material has exclusively information character and is not the offer or recommendation to make any transactions with the stocks. Agency Irbis doesn't take responsibility for the opinions which are in given material. [2010-03-01]