IPO History
The People’s IPO Program

The program of initial share offering (hereinafter - IPO) of the Fund Subsidiaries in the securities market (hereinafter - the Program or the People’s IPO Program) was developed in pursuance of the Instructions of N.A. Nazarbayev, Yelbasy, given during the XIII Congress of the Nur-Otan, People’s Democratic Party, on February 11, 2011.

The program was developed in the interests of citizens of the Republic of Kazakhstan and was aimed at providing an opportunity for the population to purchase shares of leading domestic companies and get the opportunity to personally participate in the economic growth of the country.

This Program also contributed to the development of the Kazakhstan securities market and the economy of the country as a whole, by attracting the savings of the population to the capital market, improving financial literacy of the population and providing the necessary conditions for entering the stock market for a wide range of public and private companies.

KazTransOil JSC was the first to go public in 2012. As part of the participation of KazTransOil JSC in the People’s IPO program, citizens of the Republic of Kazakhstan, as well as Kazakhstan accumulative pension funds, were offered to purchase 38 463 559 ordinary shares of the Company at a price of KZT725 per share by subscription.

During the subscription, which was held in the period from November 06 to December 05, 2012, 34 687 applications were received for a total amount of KZT59 408 943 975, that is, demand exceeded supply by more than 2 times.

As a result of the share distribution among the investors who submitted applications, 34 687 applications were satisfied totaling KZT27 886 080 275, including 34 676 applications received from citizens of the Republic of Kazakhstan.

Thus, retail investors accounted for 79.1% of the outstanding shares.

Applications of accumulative pension funds were satisfied in proportion to the volumes indicated in the applications in the amount of 15.3% of the declared demand.

In general, the initial share offering of KazTransOil JSC within the framework of the People’s IPO program demonstrated a high level of interest in investing in shares on the part of the population and Kazakhstani pension funds.

On December 18, 2014, within the framework of the People’s IPO program, the initial offering of ordinary shares of KEGOC JSC on the Kazakhstan stock market was carried out through subscription.

The total number of applications submitted for the purchase of KEGOC JSC shares amounted to 41 997 items totaling KZT16 675 918 000.6, while the maximum offering volume was determined at KZT13 130 million. Thus, demand exceeded supply by 27%.

The applications of retail investors were fully satisfied for a total amount of KZT9 473 million, also the application of the market maker, Halyk Finance JSC was fully satisfied for KZT202 million, the application of UAPF JSC was satisfied for the amount of KZT3 454 million. Thus, the share of retail investors in the total volume of the offering was 72.15%, market maker - 1.54% and UAPF JSC - 26.31%.

The number of applications from retail investors submitted within 14 000 shares amounted to 41 965 shares or 99.92% of all applications from retail investors, while the average amount of the application within the specified limit was KZT428.5 thousand.

The most active brokers in terms of the volume of applications submitted were: Kazpost JSC - 13 152 applications for KZT2 665 billion (28.1%), Freedom Finance - 18 787 applications for KZT2 428 billion (25.6%), BCC Invest - 479 applications for KZT1 215 billion (12.8%).

The second wave of privatization

Then, in accordance with the Message to the People of Kazakhstan of December 14, 2012 “Kazakhstan - 2050” Strategy: a new political course of the established state” and of January 17, 2014 “Kazakhstan’s way-2050: Common Aim, Common Interests, Common Future”, the Government of the Republic of Kazakhstan was instructed to carry out the second wave of privatization of non-strategic facilities.

In pursuance of these Instructions of the Head of State, the Government of the Republic of Kazakhstan by Decree of March 31, 2014, No.280, approved the Comprehensive Privatization Plan for 2014-2016, which provides for measures aimed at reducing state participation in entrepreneurial activity, and approved a list of organizations subject to privatization in 2014-2016.

Later, that plan was updated, supplemented and transformed into the Comprehensive Privatization Plan for 2016-2020 (approved by Decree of the Government of the Republic of Kazakhstan of December 30, 2015, No.1141). The Comprehensive Privatization Plan for 2016-2020 was fully implemented.

Within the framework of this Comprehensive Plan, JSC NAC Kazatomprom was subject to transfer to the competitive environment through an IPO.

As part of the Comprehensive Privatization Plan, it was decided to transfer a part of the stake of JSC NAC Kazatomprom to the competitive environment through the IPO.

In November 2018, Samruk-Kazyna JSC put over the IPO (Initial Public Offering) of JSC NAC Kazatomprom in the amount of 14.92% or 38,694,708 shares and global depositary receipts with a double listing on the London Stock Exchange (LSE) and the Astana International Exchange (AIX) of the Astana International Financial Center.

As a result of this public offering, about 86% of the proposed stake in JSC NAC Kazatomprom was placed on LSE and about 14% on AIX. The offer price was $11.6 per global depositary receipt (hereinafter - GDR) and KZT 4,322.74 per share.

In 2019 and 2020, Samruk-Kazyna JSC conducted SPO (Secondary Public Offering) of JSC NAC Kazatomprom on LSE and AIX through the Accelerated Book Building:

- In September 2019, 3.8% or 9,863,021 shares were placed for the second time in the form of GDRs, of which about 51% were on the AIX and 49% on the LSE, the offer price was $13 per GDR

- in June 2020, an additional 6.28% or 16,281,423 shares and GDRs were placed, of which about 35% were on the AIX and 65% on the LSE, the offer price was KZT 5,230.81 per share and $13 per GDRs

As a result of the above-mentioned placements (IPO, SPO), the share of the stock of JSC NAC Kazatomprom owned by Samruk-Kazyna JSC is 75%, 25% of the issued shares are in free circulation

Since the beginning of the preparation of JSC NAC Kazatomprom for the IPO, the Company has increased its focus on the development of corporate governance and ESG activities. The processes of observing the rights and protecting the interests of shareholders, the activities of the Board of Directors and the executive body, as well as the processes of transparency and disclosure of information in accordance with the requirements of stock exchanges have achieved significant qualitative growth. Also, in preparation for the IPO, the Board of Directors of JSC NAC Kazatomprom approved the Code of Ethics and Compliance

JSC NAC Kazatomprom, as a public company, applies advanced corporate governance practices, which has a positive effect on maintaining the Company in constant readiness to meet market requirements and international standards. The development of corporate culture is confirmed by the latest diagnostics of the corporate governance system by an independent consultant, conducted on the initiative of Samruk-Kazyna JSC (for the period 2020-2021), according to which JSC NAC Kazatomprom was awarded the corporate governance rating “A”

Further, the Government of the Republic of Kazakhstan adopted a new Comprehensive Privatization Plan for 2021-2025 (approved by Decree of the Government of the Republic of Kazakhstan of December 29, 2020, No.908) and new terms for the privatization of assets have been determined to implement Instructions of K.K. Tokayev, the President of the Republic of Kazakhstan, to reduce the presence of the state in the economy at the end of 2020. As part of this Comprehensive Privatization Plan, the Fund continues to progress on 8 large companies subject to IPO/SPO or sale to strategic investors, as well as on 17 assets subject to transfer to the competitive environment in various ways during the period 2021-2025.