Two prestigious recognitions within CEE, CIS & Turkey Awards
International syndicate with participation of Development Bank of Kazakhstan JSC for financing of the project of Qazaq Soda LLP became the winner of two awards at the 2024 Global Banking & Markets: CEE, CIS & Turkey Awards. The project was honored as Corporate Syndicated Loan Deal of the Year and Export Finance Deal of the Year. Vladimir Lee, Deputy Chairman of the Management Board, attended the award ceremony.
The structure of the syndicated loan includes the following participants: DBK, Halyk Bank JSC, ING Bank, Bank of China, Sinosure. The syndicate is supported by Backer McKenzie. The transaction was formalized by entering into a single financing agreement under English law.
These awards emphasize the strategic importance of the project for both the Kazakhstan economy and the international financial community. The project includes construction of a plant in Zhambyl region to produce caustic ash. The new plant will have a positive impact on import substitution, strengthening Kazakhstan's export potential and creating additional jobs. To date, 300 Kazakhstani workers have already been employed during the construction stage, with a further increase in the number of workers to be hired during the active phase. The plant is being constructed by a consortium of Kazakhstani and foreign (technology supplier) companies. The planned commissioning date is the first half of 2027.
DBK, which plays a key role in the implementation of this project, continues to strengthen its status as a reliable partner in attracting international investment to Kazakhstan. Recognition in the international arena confirms the high level of professionalism of the participants and growing interest of investors in Kazakhstan projects.
DBK was also honored with a prestigious award in the Debt Deal of the Year category for the best deal on placement of two Eurobond issues in 2024 in Kazakhstan.
The first issue with a volume of $500 million, a 3-year term and a coupon rate of 5.5% p.a. was the most successful for an emerging market financial institution, setting a record for the narrowest spread to U.S. Treasury securities among BBB-rated issuers.
The second issue of Sustainable Development Eurobonds, which became the debut for Kazakhstan, amounted to KZT 100 billion, the maturity is also 3 years, with a coupon rate of 13% per annum. This is the first international local currency Eurobond issue with sustainability elements to be positively rated by Sustainable Fitch and the AIFC Green Finance Center.
The funds raised will be used to finance priority sectors of the economy, including agribusiness, manufacturing and infrastructure, as well as projects that meet green and sustainable development criteria.
These achievements strengthen Kazakhstan's position in international financial markets and emphasize the Bank's commitment to green and sustainable finance.
