Market reviews and recommendations of BCC Invest JSC (Kazakhstan) analysts for October 6, 2011

/IRBIS, October 6, 2011/ - BCC Invest JSC has provided IRBIS with a survey of main events, market reviews and investment ideas for October 6, 2011. Analysts of JSC "BCC Invest" now expect positive opening of trades on positive external background. Further, during the day, according to analysts, dynamics on the local market will be mixed and multidimensional, and KASE index will end the day with moderate growth. Analysts of JCS "BCC Invest" note the following significant events on Kazakhstani market today: - Net foreign exchange reserves of the National Bank of Kazakhstan in September declined by 9.96%, the assets of the National Fund - by 0.82%. In September 2011 net international reserves of National Bank of Kazakhstan decreased by 3,530 million U.S. dollars (9.96%), with growth since the beginning of the year amounted to 4,198 million U.S. dollars (15.19%). During this period, the assets of the National Fund of Kazakhstan declined by 332 million U.S. dollars (0.82%), with growth since the beginning of the year amounted to 9,440 million U.S. dollars (29.18%). - RUSAL has completed the refinancing of its credit portfolio. In total the company has refinanced debt paid off debts amounting to 4.34 billion U.S. dollars to a consortium of international lenders on a restructuring agreement (International Override Agreement), signed on December 7, 2009, and debt of $ 552 million U.S. dollars to a group of "ONEXIM ". Repayment held on October 5 mainly at the expense of a syndicated loan of 4.75 billion U.S. dollars from international and Russian banks. The organizers of the deal are the banks: BNP Paribas (Suisse) SA, ING Bank NV, Commerzbank Aktiengesellschaft, Credit Agricole Corporate and Investment Bank, лGazprombank¬, Natixis, Nordea Bank AB (publ), The Royal Bank of Scotland Plc, Sberbank of Russia, Sumitomo Mitsui Banking Corporation, SGCIB, UniCredit Bank AG and WestLB AG. Accession to the loan in the near future of a number of international financial institutions, who confirmed their participation in the syndication, is expected. RUSAL has also completed the refinancing of the Savings Bank of $ 460 million U.S. dollars for 5 years. In addition, the company signed an agreement with "Gazprombank" to attract new credit of up to 655 million U.S. dollars for 5 years. Routine sampling of credit has already begun. Earlier, on September 23, 2011, was signed and entered into force an additional agreement with the Savings Bank under a loan worth 4.58 billion U.S. dollars. This agreement would extend the maturity of the loan until September 2016, and also cancels the warranty Vnesheconombank. RUSAL has also refinanced U.S. $ 1.1 billion through the issuance of two tranches of ruble- denominated bonds in March and April 2011 (due in March 2014 and April 2015 respectively). As a result of the refinancing rate on average loan portfolio amounted to 4.6% per annum. According to analysts of JSC "BCC Invest", the message is moderately positive for stock prices of UC RUSAL, as the outcome of the refinancing loan meets the expectations of the market. Now, to complete the restructuring of the company has greater freedom in the disposal, in particular, the company may start paying dividends and develop investment projects aimed at increasing production capacity. At the current time quotes of UC RUSAL are under pressure to negative market sentiment related to concerns about the debt crisis of the euro area, slowing global growth and strengthening of U.S. dollar, which together have a negative impact on the quotes of contracts for the supply of alumina, the main products of the company. Also, while there is uncertainty regarding the impact of new laws in the Republic of Guinea, where the company has significant interests in bauxite mining and alumina production. At this time, the recommendation on the shares of UC RUSAL are is on review. Analysts of JSC "BCC Invest" expect the following developments on international markets today: - Today Russia is expected to publish data on consumer confidence and the monetary base in narrow definition. - Today, in France at 12:45 (AST) will be published data on the fiscal balance and trade balance, at 14:30 (AST) to be published data on UK producer price index for September, and at 16:00 (AST) will be published German data on industrial production for August. - Today, in the United States in 18:30 (AST) to be published data for September on the unemployment rate, average wage and average weekly working hours. At 20:00 (AST) to be published data on wholesale inventories and at 01:30 (AST) - for consumer loans. Analysts of BCC Invest JSC are giving the following advice for investors in securities of issuers in internal market: --------------------------------------------------------------- Closing Target Potential, Issuer Code price price % Recommen- dation ----------------- ------- --------- ------ ---------- --------- Kazkommertsbank KKGB 248 Review KKGBp 148 Review Halyk Bank HSBK 220 322 +46.36 Buy Bank CenterCredit CCBN 330 608 +84.24 Buy Tsesnabank TSBN 903 1,030 +14.06 Neutral KazMunaiGaz RDGZ 12,950 15,900 +22.78 Buy Kazakhmys PLC GB_KZMS 1,900 3,450 +81.58 Buy ENRC PLC GB_ENRC 1,275 1,900 +49.02 Buy Kazakhtelekom KZTK 17,999.99 27,500 +52.78 Buy KZTKp 9,000 8,900 -1.11 Buy MREK MREK 1,182 1,130 -4.40 Hold --------------------------------------------------------------- The given material has exclusively information character and is not the offer or recommendation to make any transactions with the stocks. IRBIS Agency doesn't take responsibility for the opinions which are in given material. [2011-10-07]