Market reviews and recommendations of BCC Invest JSC (Kazakhstan) analysts for May 11, 2010

/IRBIS, May 11, 2010/ - BCC Invest JSC has provided IRBIS with a survey of main events, market reviews and investment ideas for May 11, 2010. Today Analysts of JSC "BCC Invest" after a significant drop of last week and 3 days of rest at the opening of trading expect a sharp rise in prices of shares on KASE behind their foreign counterparts. Shares ENRC PLC and Kazakhmys PLC on May 10 on the London Stock Exchange jumped - respectively 8.35% and 10.69%. Depositary Receipts of Halyk Bank, Kazkommertsbank and KMG EP on May 10 in London have increased - at 10.00%, 11.80% and 10.47%, respectively. However, analysts say, by the end of the day may be increased sales to profit taking. JSC BCC Invest also notes the following important events in the Kazakhstan market: - From April 30 to May 28, 2010 in the trade system of KASE will feature specialized trades to acquire preferred shares KZ1P51460114 (the official list of KASE, the third category, RDGZp) JSC Exploration Production KazMunaiGas (Astana). As an authorized purchaser of specialized trades speak AO "VISOR Capital" (Visor Capital) (Almaty). Total number of pledges and placed preferred shares of JSC "Exploration & Production KMG currently stands at 4,136,107 units. Described trades are part of JSC Exploration Production KazMunaiGas to redeem its preferred stock. As previously reported, JSC Exploration Production KazMunaiGas approved the repurchase program of its preferred shares, to be held through an organization separate consecutive series of thirty specialized trades at KASE in accordance with existing rules of the exchange. The program is scheduled for completion until December 31, 2011. According to JSC "BCC Invest", this news is neutral for the quotations of ordinary shares and depository receipts JSC Exploration Production KazMunaiGas as consistent with earlier statement. Analysts JSC "BCC Invest" confirm the recommendation to "stick" on ordinary shares and depositary receipts JSC Exploration Production KazMunaiGas mudflow prices KZT20,300 per share and $23.30 per GDR. At present, JSC "BCC Invest" does not give recommendations on preferred shares of JSC Exploration Production KazMunaiGas. - Kazakh commercial ATFBank and Tsesnabank "will not pay dividends for the year 2009. These decisions were taken at general meetings of shareholders of banks in April 23 and 28, respectively, reported the Kazakhstan Stock Exchange with reference to the minutes of meetings. ATFBank will not pay dividends and to replenish the capital reserve in the absence of net profit for the year 2009. According to the audited consolidated financial statements, in 2009 ATFBank concluded with a net loss of KZT54.8 billion (at the moment 146,86/$1). This negative financial result was largely due to provisioning for impairment losses on loans to customers. ATFBank not pay dividends on ordinary shares in the last few years. Meanwhile, shareholders Tsesnabank "received a net profit of KZT506 million decided to leave the bank. Number of announced common shares ATFBank is 47 million units deployed - 38 million 419 thousand 739 pieces, including the major shareholder UniCreditBank Austria AG owns 38 million 277 thousand 405 units (99.63% stake). Number of announced common shares TSESNABANK of 27.5 million units deployed - 15.5 million; announced preferred shares -2.5 million pieces, all of them are deployed. The main shareholders TSESNABANK - LLP Alyur Astana and JSC "Tsesna Corporation " respectively, belong to 775 thousand and 13 million 97 thousand 500 ordinary shares (4.31% and 72.76%, respectively). According to analysts of JSC BCC Invest these news is neutral for quotations of ordinary shares Tsesnabank" because of expectations. Analysts remain recommendation to "reduce" on these securities. Analysts JSC BCC Invest also expect the following developments in international markets: - on Russian markets significant economic and corporate news today is not expected, therefore, local investors are likely to follow developments from abroad. - on European markets important macroeconomic publications today are not expected, so the focus will be shifted to corporate events and news from other regions. In addition, investors will continue to monitor developments related to the established anti-crisis fund. - on U.S. market, investors reacted favorably to the establishment of crisis mechanism to help the European countries, which affected a significant increase in the stock market on the day. Major indices have played a part of last week fall, while ignoring the message about the treatment of national mortgage agencies Fannie Mae financial aid from the US government's capacity to 8.4 billion dollars petition of support came after the publication of loss in the first quarter of 2010 to 11.5 billion. Dollars, which were lower than for the previous period. As a result, the major indexes rose on average by more than four per cent, and the quotations of oil on the commodity market is also gaining value. 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 495 623 +25.86 Hold KKGBp 271 312 +15.13 Hold Halyk Bank HSBK 300 330 +10.00 Hold Bank CenterCredit CCBN 580 777 +33.97 Buy Tsesnabank TSBN 941 737 -21.68 Cut KazMunaiGaz RDGZ 20,000 20,300 +1.50 Hold Kazakhmys PLC GB_KZMS 2,720 3,559 +30.85 Buy ENRC PLC GB_ENRC 2332 2,642 +13.29 Hold Kazakhtelekom KZTK 14400 17,800 +23.61 Hold KZTKp 6,100 10,300 +68.85 Buy MREK MREK 910 800 -12.09 Cut ---------------------------------------------------------------------- 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. [2010-05-11]