Moscow Exchange will discuss changes in terms of participation in the authorized capital of KASE

Moscow Exchange will discuss changes in terms of participation in the authorized capital of KASE

(Reuters) - The Moscow Exchange announced that at a meeting on December 7, the Supervisory Board will discuss changes in the terms of participation in the authorized capital of the Kazakhstan Stock Exchange (KASE).

Changes are also planned to be made to the agreement on strategic cooperation with KASE.

Board members must agree to conclude a securities purchase and sale agreement with KASE as an interested-party transaction and determine the transaction price.

The Moscow Exchange, which owns 3.4% of KASE shares, was going to increase its stake.

At first, the plans of the Moscow Exchange were to increase the stake to the maximum permitted by local legislation 20%, but then, due to the growth in the capitalization of the Kazakh exchange, it was decided to buy less.

Igor Marich, Managing Director for Sales and Business Development of the Moscow Exchange, said earlier that the purchase price is tied to book value and as the KASE makes money, the valuation changes.

"Initially, we set the goal of 20%, because this is provided for by the legislation of Kazakhstan. I think that we will buy somewhere around 13%, a little more, a little", - quoted Maricha in October by Interfax news agency.

Shares of the Moscow Exchange on Wednesday are growing and reached 157.6 rubles per share, which is a historical maximum.

According to BCS analysts, shares of the Moscow Exchange are growing ahead of the publication on Wednesday of the report on trading volumes for November, when a record inflow of retail investors continued, the total number of brokerage accounts of which exceeded 8 million in November..

"The Moscow Exchange is the beneficiary of increased trading activity in the Russian market, and is also partially perceived by investors as a defensive asset in the era of the pandemic. In addition, the securities are supported by the expected dividend yield at a level above the market average due to the growth of financial indicators at the end of 2020", - BCS analysts write.

(Reuters Bureau in Gdansk and Moscow Bureau. Editor Dmitry Antonov)