17/12/2012 London Stock Exchange welcomes Kcell to the Main Market
London Stock Exchange today welcomed Kcell, the leading provider of mobile telecommunications services in Kazakhstan by market share in terms of revenue and subscribers, to mark the first day of unconditional trading in its global depositary receipts on the main market of London Stock Exchange.
This followed the sale of 50 million Kcell shares by Sonera Holding B.V., a wholly-owned subsidiary of Kcell majority shareholder TeliaSonera AB, which raised US$525 million and reduced its holding to 61.9%.
Jan Erik Rudberg, Chairman of the Board of Kcell, said:
“We are delighted that Kcell has joined London Stock Exchange, and proud that Kcell is now a publicly traded company with its depository receipts quoted on the LSE Main Market.
“We extend a warm welcome to the international shareholders who have invested in Kcell equity during the course of this IPO. We believe that Kcell offers a strong investment proposition as the leading provider of mobile telecommunications services in Kazakhstan, underpinned by the robust macroeconomic fundamentals in the country.
“As a listed company, we are strongly committed to international best practice and we will endeavour to further develop Kcell as a public company to increase value for its shareholders.”
Veysel Aral, Chief Executive of Kcell, said:
“We are pleased that the IPO of Kcell has received such positive support from international investors and very mindful of our responsibilities to all our shareholders as we take our place as a listed company on London Stock Exchange.
“With TeliaSonera’s on-going commitment, we are well placed to benefit from the increase in mobile telecommunications content and development of data services in Kazakhstan as we strive to further grow the value of the Company on behalf of our shareholders."
Kcell has operated since 1998, and as of 30 September 2012 had approximately 12.7 million subscribers, representing a market share of 47.7%, as estimated by the Company. Its market share in terms of revenue was 57% for the year ended 31 December 2011.
Kcell provides mobile voice telecommunications services, value-added services such as short message services, multimedia messaging services and mobile content services, as well as data transmission services including internet access. It has two brands: the Kcell brand, which is targeted primarily at corporate subscribers (including government subscribers), and the Activ brand, which is targeted primarily at mass market subscribers. The Company offers its services through its extensive, high quality network which covers substantially all of the populated territory of Kazakhstan.