/IRBIS, July 6, 00, official press-release of the Exchange/ - Kazakhstan
Stock Exchange (KASE) informs that during July 10 - 14, 2000 the auction
for primary floatation of the first issue bonds of Kazakhstan Temir
Zholy NSE (KZ2CLALN6A19, official list of securities, category "A", trade
code - TMJLb) will be held in the trade system of KASE.
Financial consultant of the issuer - Bank TuranAlem OJSC (Almaty) and DB
SECURITIES (Kazakhstan) OJSC (Almaty). TuranAlem Securities LLP is the
operator and definite underwriter of the first part of emission ($10 in nominal
The bonds are included in official list of KASE securities, category "A" by the
decision of the Exchange Council dated June 23, 2000 and the decision of
KASE Board dated June 36, 2000.
The securities being offered are the discount bonds indexed in respect of
KZT/USD exchange rate. Face value of a bond is $100. Total issue volume -
$15 mln at nominal value. Circulation term - 1 year (364 days).The date of
issue and circulation - June 23, 2000. Maturity date - June 23, 2001. A
bond's holder receives income that equals to the difference between
discount value of purchase and nominal value of the redemption. The
income will be repaid only to those entities, who purchased bonds before 30
days of the announced redemption date. The payments for the bonds, and
their repayment are to be made in tenges at weighted average rate of the
KASE main (morning) session, effective on the payment date.
The bonds are to be offered in two parts.
The first part of the issue for 10 mln U.S. dollars in nominal terms (100 th.
bonds) will be offered on auction through TuranAlem Securities LLP. The
second part of the issue for 5 mln U.S. dollars in nominal terms (50 th.
bonds) is placed within 63 days from the date they were entered into KASE
list of securities under category "A", but not earlier than the first part of
the issue will be placed completely.
Following are the conditions of floatation of the first part of the issue.
Applications for the auction will be submitted from July 10 to 14, 2000 in the
trade system of KASE from 11:30AM till 12:30PM of Almaty time. The
price of a bond expressed in per cents of a face value will be the subject to
the auction. The volume of a deal will be defined as a product of a price and
face value divided by 100%.
Bids satisfaction is conducted by the results of every auctioning day and
after the cutting procedure implementation, which be also held daily. Bids
are cut if their prices lower than cutting price. All bids with prices that are
lower or the same to the cutting price are satisfied on the basis of submitted
price. Only competitive bids are accepted at auction.
The payment on purchased bonds is made on the next day after each
auction till 18:00 p.m. of Almaty time in Kazakhstan tenge at weighted
average rate of the KASE main (morning) session, effective on the payment
In case of total satisfaction of the planned volume ($10 mln in nominal terms)
prior to the auction closing date (July 14, 2000), then the auction is
considered to be completed ahead of time at the day when last volume
will be floated.
Applications can be submitted only by members of KASE of category "P"
(right to participate in trades in private issue securities, which are admitted
to official list of the Exchange). Complete list of KASE members holding
category "P" is published on (http://www.kase.kz/KASEMembers/)
of the Exchange.
The Exchange notifies that Kazakhstan Temir Zholy NSE discount bonds
could be purchased using pension assets of non-state accumulative
pension funds, they are included in official list of KASE securities of