Kazakh oil pipeline company aims to raise $186 mln in IPO

Tue Oct 30, 2012 9:47am GMT

* Order books on KazTransOil IPO to open by Nov. 6

* Pipeline monopoly to float 10 pct minus one share

* Listing to kick-start "People's IPO" programme

By Raushan Nurshayeva

ASTANA, Oct 30 (Reuters) - Kazakhstan's oil pipeline monopoly aims to raise $186 million in a share offering designed to attract private investors, the head of the country's sovereign wealth fund said on Tuesday.

KazTransOil's will launch an initial public offering (IPO) of 10 percent of the company minus one share by the end of the year, becoming the first state-run enterprise to take part in the former Soviet republic's "People's IPO" programme.

The company will sell shares at 725 tenge ($4.81), with priority given to local retail investors, said Umirzak Shukeyev, chief executive of the sovereign wealth fund Samruk-Kazyna.

Kazakhstan, Central Asia's largest economy, plans to invigorate the small local stock market and raise about $500 million from the first round of IPOs, selling between 5 percent and 15 percent of shares in several state-owned companies.

The government had planned to launch the programme by the third quarter of this year, but postponed the first listings because of the volatile global market.   Continued...

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