/IRBIS, Dec 20, 01 official press-release of KASE/ - Kazakhstan Stock
Exchange (KASE) informs that public offering of third issue inscribed
coupon bonds of Astana local executive body will be held on Dec 25,
2001 in the Trade system of KASE.
The issuer is local executive body of Astana (akimat). Financial consultants
of the issuer are Fondoviy service CJSC (Almaty), Astana-finance OJSC
(Astana), CAIFC Company CJSC (Almaty). The legal consultant of issue and
the issuer is KAZAKHSTAN LEGAL GROUP LLP (Almaty). Financial agent -
Kazakhstan Stock Exchange CJSC (Almaty). The register is maintained by
Central Depository of Securities CJSC (Almaty). The market maker of bonds
is Fondoviy service CJSC.
On October 18,2001 international rating agency Moody's granted to Astana
ratings of obligations issuer nominated in foreign and do0mestic currencies,
at the level "Ba3". The forecast of ratings is stable.
The bonds were admitted to trades on Dec 19, 2001 by the decision of the
Board of KASE and resolution of the Exchange Council dated Sept 11, 2001.
Parameters of the issue announced by the issuer and its financial consultant
are presented in the table below:
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Type of securities registered coupon bonds indexed
to KZT/USD exchange rate
NIN KZZ2KY030032
Trade code of KASE ASU036.003
Issue currency USD
Servicing currency KZT
Face value of bond, USD 100.00
Announced volume of issue, KZT 1,000,000,000.00
Circulation start date Dec 27,01
Maturity date (nominal / actual) Dec 25,04 / Dec 27,04
Circulation term, days 1095 (3 years)
Coupon type semiannual
Coupon rate (interest rate) Fixed
Dates of coupon payments (nominal / actual) 1 Jun 26,02 / Jun 26,02
2 Dec 26,02 / Dec 26,02
3 Jun 26,03 / Jun 26,03
4 Dec 26,03 / Dec 26,03
5 Jun 25,04 / Jun 25,04
6 Dec 25,04 / 27.12.04
Offering volume, KZT Three working days prior payment
date
Time basis for payments actual/365
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Auction applications to be submitted till Dec 25, 2001 in the Trade system of
KASE from 11:30 a.m. till 15:00 p.m. of Almaty time.
Bonds are offered at face value. The coupon interest rate will be a subject
of an auction indicated in per sent to face value of a bond per annum. The
number of bonds is stated in their face value.`
Bids satisfaction is conducted by the results of auction and after the cutting
procedure implementation (0.01% step). Bids are cut if their yields exceed
the rate stated by the issuer as a cutting yield. Bids with yields that are
lower or the same to the cutting yield are satisfied on the basis of unified
yield, which is equal to the cutting yield. Only competitive bids are accepted
at auction.
Applications can be submitted only by members of KASE of category "K"
(right to participate in trades in state securities, which are admitted to
trade on the Exchange). Investors may submit applications through broker-dealer
companies, KASE members on this category. Complete list of KASE
members holding category "K" is published on
(
http://www.kase.kz/KASEMembers/) web site of the Exchange.
The payment is made in Kazakhstan tenge at the official rate of the
National Bank of Kazakhstan to the US dollar, effective on the dates prior
to payment dates. Investors will pay for the bonds purchased on the auction
through organizations, which have accounts in Central Depository of
Securities CJSC (Almaty) and correspondent accounts in the National Bank
of Kazakhstan, till December 26,2001,16:00 of Almaty time.
Municipal bonds could be purchased by pension assets management
companies (PAMC) involving assets of accumulative pension funds only if
the approval from National Securities Commission of the Republic of
Kazakhstan (NSC) is given. Until now, KASE does not have any documents
that could approve such procedure in respect to third issue bonds of Astana.
Additional information will be given on the decision of the commission.
Bonds' issue, circulation and redemption procedures are regulated by the
"Issuing, floatation, circulation, repayment and servicing rules for mid-
term currency governments securities of local executive bodies", which
was approved by the resolution of the Government of Kazakhstan #1139
dated Sep 04, 2001. Bonds circulation starts from the day following the day
of coming in the issuer's account of money for acquired by the investors
bonds based on results of specialized trades and ends one working day prior
to maturity date of bonds. Bonds repayment is realized due to local budget
funds. Coupon accrual (interest) starts from the day following the day of
transfer by financial agent money for the issuer's account for acquired by
investors bonds art initial floatation and is made during the whole circulation
term including maturity date at the reward rate determined in accordance
with issue conditions. Reward (interest) repayment is made by the issuer on
182 or 365 day of corresponding year of bonds circulation. Last repayment of
reward (interest) coincides with the day of bonds maturity. In case if reward
(interest) repayment day is non-working day then it is made next first working
day.
The securities being offered are the government issue securities, which
are issued in non-documentary form with the object to implement the project
regarding Construction of third sluice string from Vjacheslavskiy
reservoir to Astana. Besides, due to attracted money debt to this contractor
will be repaid in the amount of USD3,293,440. Bonds issue is carried out
based on the resolution #1324 of the Government of Kazakhstan, dated
December 18, 2001 "On changes in the resolution of the Government of the
Republic of Kazakhstan dated June 08,2001 #780", according to which
volume of borrowing by local executive body of Astana was increased by
KZT1.0bn (from KZT916.2m to KZT1,916.2m). A realization of the project
"Construction of the third branch of Vyacheslav water reservoir for Astana" is
being made in accordance with the resolution of the Government of the
Republic of Kazakhstan dated August 31,2000 #1324.
First issue of Astana municipal bonds (KZ71L2612A08, code KASE -
ASU012.001, $100, 150m, Jan 28, 99 - Jan 26, 00, semiannual coupon
13.0% APR) was floated completely, at full volume and repaid by the issuer
in a strict accordance with the schedule of service and repayment.
Second issue of Astana municipal bonds (KZZ2KY010026, trade code
KASE - ASU012.002, $100, 916.2m, Sep 22, 01 - Sep 22, 02, semiannual
coupon 8.5% APR) was floated by the issuer at the exchange auction on
September 20,2001 at planned volume and seven times demand over
supply. Securities are in circulation and allowed acquisition for pension
assets of accumulating pension funds of Kazakhstan.