Development Bank of Kazakhstan CJSC gave additional data of offered euronotes of the first issue

/IRBIS, November 7, 02/ - Today within the framework of the conducted press- conference governing body of Development Bank of Kazakhstan CJSC (Astana) gave additional information concerning primary floatation of the issued by the bank international bonds of the first issue (XS0155792186, $100 m, October 10, 02 - October 10, 07, semi-annual coupon 7.125% APR). These euronotes were included into Kazakhstan stock exchange's (KASE) official list on October 10 of 2002 and other are quoted at KASE as well. Euronotes were issued on the program EMTN. Such the issue was made first time in Kazakhstan. This issues was approved by the bank's general shareholders meeting to the amount of $400 m with circulation term of up to 2005. The main difference of EMTN from one-time eurobonds issues is that this program will allow Development Bank of Kazakhstan CJSC Зto reduce the terms and expenses for preparation of the next issues, and will also create conditions for quick reacting the market's conjuncture and regulations of borrowing volumes in accordance with volumes of credit resources development. Geographic distribution of investors, who have purchased the euronotes, is following countries and regions: 32% - Great Britain, 24% - Kazakhstan, 14% - Germany, 7% - Switzerland, 13% - other countries of Europe, 5% -off-shore investors of the USA, 3% - Near East and 2% - Asia. In accordance with demand on type of investors 52% belonged to pension assets management companies and funds, 24% - to banks, 15% pension funds, 7% - private banks and 2% - investment companies. The bank's governing body informed that while euronotes floatation there was mainly investors' demand, which keep to long-term strategy. Despite the uneasy condition of developing markets during euronotes floatation, when index ЕМВI+ exceeded 900 basis points, large number of investors, who wanted to invest their means into developing markets, found credit risk of bonds of Development Bank of Kazakhstan CJSC as rather attracting. Floatation of euronotes at secondary market was also successful, and the fact that on the first day of trades the price raised to 99.50% in comparison with initial issue price, which was 98.97%, proves it. It should be noted that since October 11 of 2002 - date of opening of trades on the euronotes at KASE (trade code BRKZe1) - no deals were made o them at Kazakhstan stock exchange's market. Evidently, offer prices from stock exchange's market-maker of bonds are considered by participants as extremely high. On Thursday at KASE BRKZe1 were quoted on demand at 7.1231% APR, а and on offer - at 6.7912% APR. [2002-11-07]