Development Bank of Kazakhstan CJSC informed about redemption of syndicated loan for $28 m

/KASE, July 16, 03/ - Development Bank of Kazakhstan CJSC (Astana), whose bonds are traded in Kazakhstan stock exchange's (KASE) official "А" listing category, has informed KASE with the official letter about the fact that on July 14 the bank redeemed syndicated loan for 28 m. US dollars. The loan was given by foreign investors syndicate headed by ING Bank N.V. for one year with the option of two-time prolongation by six months. Agreement about borrowing of the syndicated loan at the rate of six-month LIBOR+2.7% APR was signed on July 12 of 2002. Foreign banks and financial institutions took part in the syndicate: Bank Brussels Lambert S.A./N.V., Kuwait Investment Company S.A.K., Landesbank Schleswing - Holstein Girozentrale, Standard Bank London Limited, Bankgesellschaft Berlin AG, Dresdner Bank Luxembourg S.A., Westdeutsche Landesbank Girozentrale, Europaisch - Iranisch Handelsbank AG. The syndicated loan was borrowed in order to finance export-import operations of the bank's clients. According to the bank's information the decision about redemption of the syndicated loan without using option for prolongation was made by its board of directors on May 12 of 2003. This decision was made in accordance with the current situation at the world markets of loanable funds (the lowest rates of borrowing for latest ten-year periods), increased abilities of the bank concerning financing short-term operations from alternative sources, and also policy of the bank, which was directed towards increasing of volumes of mid - and long-term borrowing. "Borrowing of this loan was the successful debut of the bank at the international market of capital and initiated the new stage of its activity ", - the letter of Development Bank of Kazakhstan CJSC says. [2003-07-16]