(Alliance News) - Air Astana JSC on Friday announced it plans to pursue a listing in London and Kazakhstan, with backer BAE Systems PLC selling some shares during the process.
The carrier will apply for an admission of its global depository receipts on London's Main Market. It will also apply for an admission of its shares and GDRs on the Astana International Exchange, and for a listing of its shares on the Kazakhstan Stock Exchange, located in Almaty. A GDR is equal to four shares, Air Astana explained.
By market share, the firm is the largest airline in Central Asia and the Caucasus region.
"The Air Astana group has achieved remarkable success over the last two decades to become the largest airline group in Central Asia and the Caucasus. Today, we are one of the fastest-growing airline groups in the world with a modern, fuel-efficient fleet, carrying around 8 million customers annually and delivering award-winning levels of service on board our aircraft," Chief Executive Officer Peter Foster said.
"Our intention to list in London and Kazakhstan demonstrates the strong foundations of the Air Astana group and the exciting prospects to increase air travel across our key markets. We are confident that the initial public offering will accelerate the next stage of growth for the Air Astana Group, and we see significant opportunities to thicken our existing routes and expand into new geographic areas, supported by our continued fleet expansion plan and initiatives to increase operational flexibility."
The plan includes an offer of new shares, which will net the firm USD120 million, and the sale of existing shares by defence firm BAE and Samruk-Kazyna JSC, a sovereign wealth fund in Kazakhstan. SK owns a 51% stake in Air Astana, while BAE owns 49%.
Air Astana added: "In connection with the global offering, BAE intend to grant an over-allotment option for up to a maximum of 15% of the global offer GDRs."
Citigroup Global Markets Ltd and Jefferies International Ltd will be joint global coordinators and bookrunners. Wood & Co Financial Services AS will be a joint-bookrunner.
BAE shares rose 1.7% to 1,183.00 pence each in London on Friday morning.
By Eric Cunha, Alliance News news editor
Comments and questions to newsroom@alliancenews.com
Copyright 2024 Alliance News Ltd. All Rights Reserved.
BAE Systems (BA.)
