ASTANA (TCA) — Kazakhstan’s Halyk Bank on June 7 said it has entered into an agreement with China CITIC Bank Corporation Limited and China Shuangwei Investment Co., Ltd. for the sale of 60% of the share capital in JSC Altyn Bank, a wholly owned subsidiary of Halyk Bank.
The transaction is expected to complete during the second half of 2017.
Following the completion of the transaction, Halyk Bank will remain a 40% shareholder of Altyn Bank and will have certain rights under a shareholders’ agreement with the Purchasers in relation to Altyn Bank and its governance, Halyk Bank said.
Umut Shayakhmetova, Halyk Bank’s CEO, commented: “Within the One Belt, One Road Chinese initiative we are seeing Kazakh companies expressing a clear desire to develop their business in China as we continue to follow the needs of our clients. China is an important market for Kazakh businesses. It opens up new selling opportunities for Kazakh goods and services. In turn, Altyn Bank will be able to offer its Kazakh clients all the necessary banking support, such as direct KZT/CNY currency exchange, trade finance, treasury operations and lending, for example. CITIC Bank will be an important partner for Altyn Bank, expanding its opportunities in a number of areas by virtue of its scale and presence as a significant international bank. In addition to this, there is also the potential to leverage CITIC Bank’s technologies for Altyn Bank.”
Halyk Bank is Kazakhstan’s leading financial services group, operating across a variety of segments, including retail, SME & corporate banking, insurance, leasing, brokerage and asset management. Halyk Bank has been listed on the Kazakhstan Stock Exchange since 1998 and on the London Stock Exchange since 2006.
With total assets of KZT 5.201 trillion, Halyk Bank is Kazakhstan’s leading lender. The Bank has the largest customer base and broadest branch network in Kazakhstan, with 506 branches and outlets across the country. The Bank also operates in Georgia, Kyrgyzstan and Russia.
Altyn Bank JSC (Subsidiary of Halyk Bank JSC), previously known as HSBC Bank Kazakhstan, established in Kazakhstan since 1998, has been acquired by and became a wholly owned subsidiary of Halyk Bank JSC in November 2014. With offices in four major cities in Kazakhstan and being a universal bank, Altyn Bank provides full range of products and services to corporate and retail clients across the country.
