Market reviews and recommendations of BCC Invest JSC (Kazakhstan) analysts for October 19, 2011
21.10.11 16:22
/IRBIS, October 19, 2011/ - BCC Invest JSC has provided
IRBIS with a survey of main events, market reviews and
investment ideas for October 19, 2011.
Analysts of JSC "BCC Invest" now expect negative opening of
trades amid negative closure on Kazakhstani issuers in London
the day before. Further, during the day, according to analysts,
the dynamics on locale will depend on mood of foreign investors.
Analysts of BCC Invest JCS note the following events on
Kazakhstani market today:
- KMG EP will review the amount of purchase from its
parent organization shares in number of oil companies.
The cost of acquisition by KazMunaiGas Exploration
Production JCS shares in oil companies in the parent
NC "KazMunayGas" will be revised, said CEO of KMG
EP Askar Balzhanov at a meeting with investors in
Almaty. "Not lower than the price a year ago, but not
much higher", - said A. Balzhanov answering the
question in what direction will review the transaction to
acquire 50% stake in Mangistau Investments BV, which
owns 100% shares of JSC" MangistauMunaiGas. "He
said that the timing of the closing of the acquisition of
MangistauMunaiGas planned the same - before the end
of this year. In 2012, Balzhanov recalled, close of the
acquisition of shares in "Kazakhoil Aktobe" and
"Kazakhturkmunai" is scheduled. "The sum of these
transactions will also be revised", - he added. It was
reported that RD EP gets from its parent organization -
the national company "KazMunayGas" 50% stake in LLC
"Kazakhoil Aktobe", 51% of the Company
"Kazakhturkmunai" and a 50% stake in Mangistau
Investments BV, which owns 100% shares of JSC
"MangistauMunaiGas." acquisition price of these three
assets totaled $ 750 million, of which $ 350 million is the
price of 50% stake in "Kazakhoil Aktobe", $ 70 million -
"Kazakhturkmunai", $ 330 million - in Mangistau
Investments BV Previously, Credit Suisse and Visor
Capital provided the Board of Directors of KMG EP's
opinion on the that the transaction amount to be paid for
the acquisition of KMG EP's share in
"MangistauMunaiGas" is fair from a financial point of
view. Board of Directors was also granted to Deutsche
Bank concluded that the transaction amount, payable to
KMG for the acquisition of shares in "Kazakhoil Aktobe"
and "Kazakhturkmunai" is fair to the company from a
financial point of view. "Kazakhoil Aktobe" has the
contract for subsoil Alibekmola and Kozhasai located in
Aktobe region of Kazakhstan (west). The production
volume in 2009 amounted to 930 thousand tons (19
thousand bpd), the proven and probable reserves are
estimated at 30 million metric tons (217 million barrels of
oil equivalent). The second shareholder is Caspian
Investments Resources. "Kazakhturkmunai" has two
contracts for subsoil use and develop five fields: West
Yelemesov, Northeast Saztobe, Southeast Saztobe
Mangistau region (the west), and Laktybay Karatobe
South - in the Aktobe region. The production volume in
2009 amounted to 220 thousand tons (4.5 thousand
barrels per day), the proven and probable reserves are
estimated at 5.6 million tons (41 million barrels of oil
equivalent). The second shareholder is Turkish
Petroleum Corporation (TPAO).
Analysts of BCC Invest JCS expect the following
developments on international markets today:
- Russia is expected to publish data on the monetary base
in a narrow definition.
- in France at 12:45 (AST) will be published indexes
prospects of the productive sector and the business
climate. In Germany at 14:00 (AST) to be published data
on the IFO business climate index, the current situation
and expectations. In the UK at 14:30 (AST) to be
published data on public finances. At 15:00 (AST) will be
published value of the ratio of budget deficit to GDP in
the Eurozone.
- no important publications in the U.S. economic statistics
are expected.
- today General Electric Co, Verizon Communications Inc,
McDonald's Corp, Schlumberger Ltd, Honeywell
International Inc, and others will be reporting.
Analysts of BCC Invest JSC are giving the following advice
for investors in securities of issuers in internal market:
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Closing Target Potential,
Issuer Code price price % Recommen-
dation
----------------- ------- --------- ------ ---------- ---------
Kazkommertsbank KKGB 245 320 +30.61 Neutral
KKGBp 148 157 +6.08 Neutral
Halyk Bank HSBK 210 322 +53.33 Buy
Bank CenterCredit CCBN 315 608 +93.02 Buy
Tsesnabank TSBN 865 1,030 +19.08 Neutral
KazMunaiGaz RDGZ 14,299 15,900 +11.20 Buy
Kazakhmys PLC GB_KZMS 2,030 2,440 +20.20 Buy
ENRC PLC GB_ENRC 1,575 1,900 +20.63 Buy
Kazakhtelekom KZTK 18,153.27 27,500 +51.49 Buy
KZTKp 10,500 8,900 -15.24 Buy
MREK MREK 1,299 1,130 -13.01 Hold
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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.
[2011-10-21]