KEGOC began a road show in Kazakhstani cities as part of KASE FEST, the annual fair of Kazakhstani brokers. The first city visited was Pavlodar, where potential investors were informed about why purchasing KEGOC shares is a profitable investment.
"KEGOC shares are a dependable investment vehicle that offers competitive returns in Kazakhstan's capital market. KEGOC's share price has more than tripled since its initial public offering in 2014. Dividends totalling KZT 218 billion have been paid to shareholders over the last nine years. The total return to shareholders, including the increase in share price and dividends paid, was 400%. The company anticipates a consistent annual increase in net profit, at least 60% of which will be allocated twice a year for dividend payments," said Aigul Akimbayeva, the company's Managing Director for Finance and Accounting.
According to her, forecasts on increasing KEGOC's profitability are based on the gradual increase in tariffs and forecasts on the growth of electricity consumption in Kazakhstan. The net profit for the first half of the year exceeded KZT23 billion, representing a 64.3% increase over the same period in 2022. The forecast for 2023 is KZT31.5 billion, an increase of 18% over 2022, and the forecast for 2024 is KZT40.5 billion, an increase of 29% over 2023.
Investment firms are optimistic about the company's share price growth prospects: financial analysts' average forecast estimate of KEGOC's share price was KZT1,817, which is higher than the current market value of the company's shares.
Representatives from Samruk-Kazyna JSC and investment firms attend the meetings. Potential investors are instructed on how to purchase KEGOC shares, including through brokerage applications and stock exchanges, particularly the Tabys, Astana International Exchange (AIX), and through Kazpost offices.
Kazakhstan Stock Exchange (KASE) is organising a series of investor meetings. The event aims to popularise trading on Kazakhstan's stock exchange and improve financial literacy among investors ahead of Kazakhstan's national companies' IPO/SPO.
Similar events will be held in Astana on 11 October, in Shymkent on 13 October, in Almaty on 16 October and in Aktobe on 20 October. Entrance to KASE FEST events is free, information about the venue and time is available here.
As previously reported, KEGOC's General Meeting of Shareholders decided to hold the SPO on September 26, 2023. More than 15.2 million ordinary shares will be issued by the company. However, Samruk-Kazyna JSC will retain at least 85% of the total number of shares in the company. The planned share price is KZT1,482, and the listing on the AIX exchange is scheduled for early November 2023.
Current KEGOC shareholders who own 17 or more shares will be able to exercise their pre-emptive rights within 30 days of the announcement's publication, from September 28 to October 27 inclusive. They can apply through brokers or directly to KEGOC. The application period for new investors will run from October 16 to November 2 inclusive. The settlement is scheduled for November 9th.
Detailed information is available on KEGOC's website.