Market reviews and recommendations of BCC Invest JSC (Kazakhstan) analysts for May 31, 2010

/IRBIS, May 31, 2010/ - BCC Invest JSC has provided IRBIS with a survey of main events, market reviews and investment ideas for May 31, 2010. Analysts of JSC "BCC Invest" indicate that the shares on Friday on the London Stock Exchange in ENRC PLC rose by 0.50% (10.04 pounds/KZT2,127) and Kazakhmys PLC - declined to 0.84% (11.85 pounds Sterling/KZT2,510). On Friday in London Depositary Receipts of Halyk Bank, Kazkommertsbank and KMG rose - to 4.27% ($8.30/KZT304), 8.33% ($6.50/KZT476) and 6.45% ($21.45/KZT18,855), respectively. Yesterday Negative closing trades in the U.S. and Mixed dynamics in Asia today, according to analysts of JSC "BCC Invest", will not give reason for serious growth in Kazakhstan's market share at the opening, but given the fact that today, Monday, the stock exchanges in London and New York will be closed, investors can continue to record profits in the background of the lack of significant news background, which may cause the correction in the local market. Analysts of JSC "BCC Invest" offers mixed dynamics on the local stock market on the day. JSC BCC Invest also note the following important events in Kazakhstan's market: - JSC Exploration Production KMG published the results of specialized trades on repurchases of preferred shares at KASE, conducted in the period from April 30 to May 28, 2010. According to the company were satisfied with the application for redemption of 26,384 preferred shares totaling KZT450,993,057.12 price cut KZT17,093.43 per share. Payments will be made under the scheme T +3 2 June 2010. Thus, the company has repurchased 307,112 own preferred shares totaling KZT6,434,912,565.90 to the program of redemption. In the view of analysts of JSC "BCC Invest" the message is a bit disappointing holders of preferred shares of KMG Exploration & Production as well as cut-off price was substantially lower than the cut-off of previous trades, and the amount of successful applications has also proved to be far below expectations. However, according to JSC "BCC Invest", to holders of ordinary shares trading results are positive, since the price cut has developed below the market price of common shares at that time and volume of requests met said the unwillingness of the management company to meet all bids at any price. Analysts JSC "BCC Invest" confirm the recommendation "hold" on ordinary shares and depositary receipts JSC Exploration Production KazMunaiGas with target price KZT21,300 per share and $24.50 per GDR. - JSC Kazkommertsbank for Tuesday, June 1, 2010, will hold a conference call on the financial results for the first quarter of 2010. Time of conference call - 17:00 Almaty time. Details on access and participation in a teleconference presented on the website of the bank. Source: Bank's corporate website (www.kkb.kz). The current recommendation of JSC "BCC Invest" on shares and depositary receipts Kazkommertsbank is located at the "hold" with target prices of KZT623 per ordinary share, KZT312 per preferred share and $8.50 per GDR. However, after the publication of reports for the first quarter of this year, and a telephone conference with the comments of management analysts of JSC "BCC Invest" will update their model estimates the bank's shares, and if necessary change their recommendations and price targets, and released a new survey by the issuer. - Halyk Savings Bank of Kazakhstan on Tuesday, June 1, 2010 will hold a conference call on the financial results for the first quarter of 2010. Time of conference call - 19:00 Almaty time. Details on access and participation in a teleconference presented on the website of the bank. Source: Bank's corporate website (www.halykbank.kz). The current recommendation of JSC "BCC Invest" for ordinary shares and depositary receipts Halyk Savings Bank of Kazakhstan at the level of "accumulate" with target prices of KZT330 per ordinary share and $9.02 per GDR. However, after the publication of reports for the first quarter of this year, and a telephone conference with the comments of management analysts of JSC "BCC Invest" will update their model estimates the bank's shares, and if necessary change their recommendations and price targets, and released a new survey by the issuer. Analysts JSC BCC Invest also expect the following developments in international markets: - Despite the negative mood of the American market at the end of last week, today's ambient background is moderately favorable for shopping. For example, most Asian indices traded in a small plus, and futures on the main indicators of the U.S. also shows positive momentum is neutral. In this regard, analysts of JSC "BCC Invest" now expect moderate increase indices RTS and MICEX at the opening of tenders. Nevertheless, most likely today, activity on Russian trading floors will be minimal due to the closure of markets in the U.S. and the UK. - trading in the UK today, will be closed, so the main macroeconomic developments, which will be aired during the day, will include continental Europe and Asia. The most interesting data will be published indexes of consumer confidence, economic and business sentiment in the euro area in May. Also, come out projections for inflation in the region over the same period. - U.S. market today, important macroeconomic news is expected. 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 465 623 +33.98 Hold KKGBp 271 312 +15.13 Hold Halyk Bank HSBK 300 330 +10.00 Accumulate Bank CenterCredit CCBN 566 734 +29.68 Buy Tsesnabank TSBN 941 737 -21.68 Cut KazMunaiGaz RDGZ 18,500 21,300 +15.14 Hold Kazakhmys PLC GB_KZMS 2,600 3,559 +36.88 Buy ENRC PLC GB_ENRC 2,188 2,638 +20.57 Buy Kazakhtelekom KZTK 12,430 17,800 +43.20 Hold KZTKp 6,001 10,300 +71.64 Buy MREK MREK 1,000 800 -20.00 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. [2010-05-31]