People’s IPO

IPO and "People’s IPO"

Traditionally, an IPO (InitialPublicOffering) is the first public sale of shares of a joint-stock company amongst an unlimited circle of persons. Shares can be sold for the first time (strictly speaking, an IPO) or they can be offered to existing shareholders (SPO). In both cases the abbreviation IPO is usually used.

As a rule, IPOs are an instrument of raising money. Less frequently the IPO mechanism (to be more precise, SPO) is a way for a major shareholder to quit the company. If we talk about a "People’s IPO", objectives are more global. In particular, the government program of "People’s IPO" in Kazakhstan adopted in autumn 2011 is aimed at:
  • providing citizens with chances of buying shares of the country’s major enterprises,
  • creating a new tool for investing and augmenting personal savings, further developing of the stock market,
  • raising by businesses of additional funding in their pursuit of successful investment plans.

Exchange’s role in "People’s IPO"

In accordance with objectives set by originators of the "People’s IPO" in Kazakhstan, this program should be implemented on the basis of technology and infrastructure available at Kazakhstan Stock Exchange (KASE). However, the Exchange will avail of a key role only in the development of mechanisms and technical support of shares subscription during the "People’s IPO". In other parts of the program KASE will perform its usual role, by enabling:
  • companies:
    • to obtain access to circulation of securities at the exchange platform;
    • to offer their securities in the organized market by subscription or during open trades;
    • to disseminate information about their operations by using the Exchange’s relevant infrastructure;
  • investors:
    • to buy securities of listed companies during their offerings;
    • to participate in securities trades through Exchange members;
    • to receive a full package of information about events taking place in the exchange market.

How to participate in "People’s IPO"

In order to participate in the "People’s IPO" one should become familiar with basic rules of investing, mechanisms and peculiarities of trading, as well as with laws regulating these issues. Such legal acts include at least the Program of Introducing of Blocks of Shares of Subsidiaries and Affiliates of the Joint-Stock Company "National Wealth Fund "Samruk-Kazyna" to the Stock Market (herein after – the Program), Acts of the Republic of Kazakhstan "On Joint-Stock Companies" and "On Securities Market".

According to Kazakhstan’s current legislation physical persons can trade at the Exchange only through exchange members. That makes it necessary to choose one or several investment companies by contacting them directly or through the transfer-agent, whose role under the Program is performed by JSC "Kazpost".

With regard to investing under the Program, the government, investment companies and the Exchange conduct educational work and public awareness campaigns.

One should study this matter by visiting website purposefully designed by JSC "NWF "Samruk-Kazyna". It offers detailed information with a step-by-step manual as to how to participate in the Program.

Moreover, on KASE website, in section Publications there are interesting articles on the same subject – the article in the online-version of the newspaper "Capital" containing an interview with KASE Vice-President Andrey Tsalyuk - "Participation in the "People’s IPO".

In order to successfully participate in the Program it is very important to use all means available for the self-study of approaches to investing at the stock market and visiting of various events organized by participants of this program for the broad public.
Major developers and organizers of the Program are JSC "NWF "Samruk-Kazyna" and Ministry of Economic Development and Trade of the Republic of Kazakhstan.

JSC "Kazakhstan Stock Exchange" (KASE) carries out technical, technological and information (within its authorities and capabilities) support of the Program.

Companies – issuers of securities – joint-stock companies whose shares will be offered to Kazakhstan’s people by way of subscription through the Exchange, in accordance with the order set by the government of the Republic of Kazakhstan. Those companies were carefully selected as participants of the Program following a thorough study.

Companies are expected to make IPOs as follows: Brokerage firms – members of KASE stock market – investment companies which will assist securities issuers in making an IPO, as well as render services to the broad public with regard to purchase of shares under the Program.

Those wishing to take part in the "People’s IPO" should in good time begin with setting up accounts at brokerage companies. Their list is available here; however only members of KASE stock market should be contacted.

JSC "Kazpost" is the official transfer-agent of the Program, who should provide the broad public with access to participating in "People’s IPO". One will be able to choose a broker, make an agreement with him and submit orders for purchase of shares.

Investors are citizens of the Republic of Kazakhstan, who are granted the preemptive right to purchase shares during their offering under the Program.
This section contains information about useful and interesting events conducted by participants of the Program and other competent organizations with regard to investing, increasing of financial literacy etc.

Doors Open Day of Kazakhstan's Stock Market, May 19, 2012

Award winners in KASE nominations (most distinguished Exchange members based on Y2011 results)

Award winners in KASE nominations (best listed companies based on Y2011 results)
KazTransOil common shares current prices and quotations: – the results of current and previous days, the last 52 weeks, graphic representation of prices and trades volume, the last 10 deals, characteristics of the security, instrument and issuer, the last 10 related news. In order to get the timely information the page should be updated manually. – browsing of trades in real-time (without page forced update). Select on the page instruments (not more than 10, KazTransOil common shares ticker – KZTO), tick off derived fields and select the automatic update frequency. In case of the free service the data transmission delay is 15 minutes from the moment of their appearance. The paid service conditions are available at

Free viewing of prices and quotations in real-time is possible via software applications of mobile units under operating systems Android and iOS (e.g., Bloomberg).

Official website of the Program:

Companies – issuers of securities:

JSC "KazTransOil"


Other useful information: – information-educational site of KASE

Page "People's IPO" on the website of "KEGOC" JSC

Page "People's IPO" on the website of "Freedom Finance" JSC

Regulatory framework of Kazakhstan’s stock market

LLP "Information Agency of Financial Markets "IRBIS"

LLP "eTrade"

Simulator of Exchange’s trading system (STS) is an especially designed demo version of KASE’s real trading system for those wishing to have a go at exchange trading
Official website of the "People’s IPO" Program -

Hotline of JSC "NWF "Samruk-Kazyna" for queries regarding " People’s IPO":

regions 8-800-070-1570

Almaty 8-727-334-3434

KASE counselling group on issues related to "People's IPO" for professional participants

Issues regarding listing at KASE (for security issuers)listing@kase.kz237 53 27
Issues regarding conducting of subscription and compiling of the order booktrade@kase.kz237 60 19, 237 60 21, 237 60 22, 237 60 23
Other questions from Kazakhstan's investorspr@kase.kz237 53 08
Questions from foreign legal and physical personsworld@kase.kz237 53 20

Releasing information on KASE website

Releasing of information on "People's IPO" pagepr@kase.kz237 53 08
Releasing of newsinfo@kase.kz237 53 14
Putting up banners and advertisingpr@kase.kz237 53 08