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Astana, Kazakhstan • 16 February, 2024 | 08:58

Air Astana Raises $370M in IPO

97.8% of orders from retail investors were allocated in full

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Facebook/Air Astana
Facebook/Air Astana

Air Astana Group successfully completes its IPO, raising $370 million, QazMonitor reports citing the press service of the company.

“​​97.8% of orders from retail investors were allocated in full,” states the official message published on February 15.

This is the first IPO achieved simultaneously on three stock exchanges: the Kazakhstan Stock Exchange, Astana International Exchange and London Stock Exchange.

“The total deal size for the IPO was c. USD 370 million (assuming full exercise of the over-allotment option), valuing the Group at c. USD 847 million,” says the report. As part of the IPO, the Group raised $120 million primary proceeds to accelerate the next stage of its growth.

The IPO of the Group was oversubscribed through support by local Kazakh investors, both retail and institutional, in addition to the international investor community. Local investors received 58% of the offering with international investors receiving 42%.

Total demand on the local market exceeded $483 million. Retail investors submitted c.60 thousand orders in the Air Astana IPO for c. $216 million. Retail investors received c. 53% of their total demand.

Kazakh institutional investors (including pension fund) received c.38% of their total demand and international investors received c.25% of their total demand in the offering. To ensure equitable treatment and in line with other international offerings, retail investors’ orders of $30 thousand or below were allocated in full, with pro-rata allocation for the remainder of the demand based on the residual amount over $30 tjpisamd. 

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