Halyk Bank to become principal shareholder of Qazkom

"Mr Kenges Rakishev and "Halyk Bank of Kazakhstan" JSC and separately Sovereign Wealth Fund "Samruk Kazyna" JSC and "Halyk Bank of Kazakhstan" JSC signed the sale and purchase agreements to acquire ordinary shares of Kazkommertsbank for consideration of 1 Kazakhstan tenge," the bank said in a statement.

After the deal is closed, Halyk Bank will become the principal shareholder of Kazkommertsbank.

The closing of the transaction is subject to certain conditions precedent, including, inter alia: acquisition by JSC Fund of Problem Loans of certain assets and loans from BTA Bank; Repayment of the loan by BTA Bank to Kazkommertsbank for an amount of up to 2.4 trillion tenge; Mr Rakishev having acquired ordinary shares currently held by Qazaq Financial Group, Mr. Subkhanverdin and Central Asian Investment Company; and receipt of customary regulatory approvals from the relevant regulatory bodies in Kazakhstan and certain other jurisdictions.

The transaction is expected to be closed this year.