Complete results of notes-49 #409 offering
/IRBIS, June 28, 00/ - Today the National Bank of Kazakhstan (NBK) held
the 409th auction for notes offering with KZT100 face value and 49 days to
maturity. Announced volume of the issue is set by the issuer at KZT500 mln.
Size of satisfaction of non-competitive applications is 60% of specified
Following are complete offering data. There is no comparison with the
previous auction as the last notes auction with 49 days to maturity was held
on April 26, 2000.
Type of the securities Notes-49
KASE trade code NTK409.049
IRBIS registration number 409/N
Par value, KZT 100.00
Issuance date June 28, 2000
Circulation start date June 29, 2000
Maturity date Aug. 17, 2000
Days in circulation 49
Number of Primary agents 9
Demand, mln KZT 329.7
WA yield on demand, % APR 11.85
Planned volume, mln KZT 500.0
Actual volume, mln KZT 170.6
Cut-off price, % of par value 98.62
WA price, % of par value 98.62
Maximum yield, % APR 10.39
Weighted average yield, % APR 10.39
Effective WA yield, % APR 10.87
The behavior of market participants is affected by quarter end tendencies
and considerable volume of NNK KAZAKHOIL and OJSC "Halyk Bank of
Kazakhstan" borrowings undertaken through bonds issue. As a result, tenge
liquidity of main institutional investors falls. Consequently, there is
no extra money to invest in SS.
Today, quotations of the shortest money increased by 14/20% APR.
All of above mentioned facts led to temporary difficulties with securities
floatation issuers came to on the current week. MEKKAM and MEOKAM
issues, which had been planned on Monday and Tuesday were failed due to
unacceptable terms of bids dealers declared. Notes demand parameters
were tough today. For the first time since, the demand volume did not exceed
announced volume of an issue.
According to IRBIS experts, these difficulties are temporal. On the other
hand, they might be described as planned. One of the reasons the Ministry of
Finance and NBK try to reach when decreasing bills' yields is to force
institutional investors, and bank first of all, to invest in instruments directly
related to the real sector of the economy. This is particularly true in case of
NNK KAZAKHOIL bonds ($25 mln floatation volume). Next are bonds of NSE
"Kazakhstan Temir Zholy" and OJSC "KEGOC".