Halyk Bank comments on rumors about its merger with KKB

“Halyk Bank follows the rumors in mass media about its possible merger with JSC Kazkommertsbank. Halyk Bank did not receive and did not made any proposition on any merger with KKB,” a  statement from the Bank reads.

“Indeed, within the year 2016, we have considered various scenarios of further development of Kazakhstan’s banking sector. In our view, such discussions may not be considered as negotiations,” the Bank explains.

“Halyk Bank may  consider such deals if they are concluded on fair commercial terms as per international standards with the consideration of interests of the shareholders and interested parties of the Bank,” the Bank emphasized.

Earlier Kazakhstani mass media claimed that the two largest banks in Kazakhstan Kazkommertsbank (KKB) and Halyk Bank are in discussion of a possible merger to establish a bank with assets of $27 billion. It is worth mentioning that the two banks account for 37% of Kazakhstan's banking system assets. Halyk Bank has a market capitalization of $1.7 billion, while Kazkommertbank's market capitalization is approximately $540 million. Kazkommertsbank is controlled by well-known Kazakhstani businessman Kenges Rakishev, while Halyk Bank is chaired by the Vlast Magazine's Banker of the Year Umut Shayakhmetova.