Kazakhstani and Russian companies are waking up from the crisis and are now starting to plan asset placements and gaining additional funds. There about 77 IPOs expected to be floated by CIS companies this year, and most activity shows that 66% of all potential IPOs are Russian companies, with Kazakhstan representing 8% of the total. According to PBN IPO Tracker companies in the metals and mining, financial and transport sectors are the most keen on offering shares in Moscow, London and Hong Kong.

This year Hong Kong Stock Exchange seems to be more attractive to many companies after Rusal’s successful IPO that lead many mining companies to plan own IPO there. Asia is a major client of many metal companies. Secondly, at the Hong Kong Stock Exchange is much easier to post assets because it requires fewer documents, and the procedure is easier. Finally, IPO in Hong Kong takes much less time than in London.

Regarding Kazakhstan, there are 7 companies that already plan future initial placings, mostly from the mining and financial sectors. Sovereign wealth fund Samruk-Kazyna plans to sell off  some biggest companies. All these companies have not decided yet which stock exchange is best for them, but it is clear that a listing on LSE or Hong Kong Stock Exchange is likely; through foreign stock exchanges they can raise more capital than on the Kazakhstan Stock Exchange.

Completing an IPO needs years to make companies ready and gain as much capital as they can. Kazakhstani companies planning IPOs will not place assets no longer than in 2012-2013.

Possibly related posts:

1. Deripaska’s Latest Hong Kong Gamble
2. Russian and CIS IPOs Ready to Rebound? PBN’s New IPO TRACKER Identifies 48 Potential Russian and CIS IPOs in 2010-15
3. Russian IPOs: To Sell or Not to Sell?
4. Sollers Comes to Kazakhstan
5. Reevaluating Investments

IPO · Kazakhstan · Russia