Halyk Bank of Kazakhstan delayed the issue of eurobonds till 2001
14.11.00 00:00
/IRBIS, Nov.14, 00/ - REUTERS informs, with the reference to the chairman
of the Board of Halyk Bank of Kazakhstan, Anvar Saidenov, the bank
delayed its plans to issue eurobonds till the year 2001 due to unfavorable
situation on the capital markets.
He said that their advisor, JP Morgan, had recommended not to conduct the
issue now, but to monitor the situation on capital markets in January-
February closely.
The bank was planning to issue eurobonds for $100 mln in 2000, and it is the
second attempt of the bank to get into international capital markets already,
with the first one being in 1998, when the bank had to delay its debut issue of
$100 mln eurobonds due to prolonged crisis on financial markets, is said.
Saidenov, who took over the office three months ago, said that there might
have not exist a sharp need for additional resources.
It is said that the bank launched $16 mln seven-year subordinated bonds on
domestic market this summer, which helped the bank's shareholders' equity
of exceed $50 mln.
The bank chairman said that total amount of credit lines opened to Halyk
Bank exceeds $70 mln for documentary operations, and about $20 mln for
currency operations.
He also said that the European bank for reconstruction and development
(EBRD) was interested in buying the block of shares in pension fund of the
Halyk Bank, where the shareholders are Kazakhstan Temir Joly NSE
(railroads), KazTransOil and Kazakhoil companies, was said.
It was said that several talks had been already conducted with the EBRD
representatives in London, where they have expressed their interest in
buying any block of shares of the Halyk Bank's pension funds due to their
interest in the development of the pension reforms in Kazakhstan.
Saidenov said that talks were conducted with a number of German banks to
establish a construction savings bank, though no exact names were given.