Aluminum production gets a substantial boost as ERG successfully raises $100 million through bond issuance.
Reimagined Article:
ERG Hoists First Non-Government Bonds in Kazakhstan's Stock Exchange
Kickstarting a new era, Eurasian Resources Group (ERG) announced the launch of a stunning $100 million bond offering on the Kazakhstan Stock Exchange (KASE), echoing the first ever non-government bonds under Kazakh law! Secured by the Development Bank of Kazakhstan, these bonds promise a three-year ride, setting a path for a fresh financial journey.
📸 Photo Credit: erg.kz
The action-packed offering comprises 100,000 bonds, each boasting a jaw-dropping $1,000 nominal value. Thrilled investors will receive tantalizing interest payments twice a year, with the principal amount repaid like a grand finale at the three-year mark. Moody's Investors Service has officially given these bonds a glowing Baa1 investment-grade rating, promising a sturdy financial backbone.
Lethal weapons in ERG's arsenal, these bonds swing into action via Kazakhstan Aluminium Smelter (KAS), a family member of the ERG family and the solitary producer of prime-grade aluminum in Kazakhstan. This thrilling offering signifies a groundbreaking leap forward for ERG on the battlegrounds of organized debt capital markets. The Central Securities Depository acts as the formidable agent for this drop-dead-gorgeous issuance.
ERG's CEO, Shukhrat Ibragimov, lauded the cooperation with the Development Bank as the key player that unlocks fresh funding avenues. "To hell with history," he quipped, "this is ERG's debut public debt instrument! It's game-changing, expanding our financing options and fueling our grand growth and capacity expansion blueprints."
- The successful issuance of these bonds by Eurasian Resources Group (ERG) could potentially revolutionize the finance industry within Kazakhstan, as it opens up new avenues for non-government bonds in the stock market.
- As ERG ventures into the organized debt capital markets with its first public debt instrument, it is poised to significantly impact the energy sector, as proceeds from the bond offering could be utilized for grand growth and capacity expansion projects, especially within the Kazakhstan Aluminium Smelter (KAS).
