Proactive Investors - Air Astana has priced its upcoming initial public offering on the London Stock Exchange at 1.073.83 Kazakhstani tenge, or around 189p, per share, giving an implied valuation of more than £670 million for the flagship carrier of Kazakhstan.
The pricing sets the stage for its shares and Global Depositary Receipts (GDRs) to begin trading on the LSE, Astana International Exchange (AIX), and the Kazakhstan Stock Exchange (KASE).
Conditional dealings commenced this Friday for pre-IPO investors before full dealings commence on 14 February.
The offering entails the sale of shares and GDRs held by the Sovereign Wealth Fund Samruk-Kazyna and BAE Systems (LON:BAES) (Kazakhstan) Limited, in addition to new shares issued by the company.
Air Astana is expected to generate over £277 million from the offer, which will primarily fund the airline's growth strategy.
Following the offering, Samruk-Kazyna will retain a 41.0% stake, and BAE Systems will hold 15.3% of the company, assuming full exercise of the over-allotment option.
Peter Foster, Air Astana’s president and chief executive, commented: "We are delighted to share our success today as we close the books on our initial public offering and commence conditional dealings on the London Stock Exchange and AIX.
"The strength of investor support reflects our profile as a profitable, high-growth airline group underpinned by compelling market dynamics. We have received strong interest both domestically and internationally, and this has resulted in a highly successful IPO multiple times oversubscribed.
“The triple listing on the London Stock Exchange, Kazakhstan Stock Exchange and Astana International Exchange has created the perfect platform to raise capital while allowing both local citizens and international investors to participate in our success story.
“This is the start of an exciting new phase for the Air Astana Group and we welcome all our new shareholders as we deliver our growth strategy."