Air Astana aims for valuation of up to £757m in London float
The central Asian airline is nearly 50% owned by British defence giant BAE Systems.
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Your support makes all the difference.Kazakhstan’s national carrier, Air Astana, has said it is set for a stock market valuation of up to 962 million US dollars (£757 million) when it floats in London next month.
The central Asian airline, which is nearly 50% owned by British defence giant BAE Systems, has set the indicative price range for its dual listing in London and Kazakhstan at between 2.13 US dollars (£1.68) and 2.75 US dollars (£2.16) per share.
This would value the group at between 770 million US dollars (£606 million) and 962 million US dollars (£757 million).
The final price is expected to be announced around February 9, according to the company.
Its London listing would provide a welcome boost to the London initial public offering (IPO) market amid a dearth of City deals and flotations.
Air Astana is 49% owned by BAE Systems, with the remainder owned by the Kazakh sovereign wealth fund.
BAE is expected to cut its stake as part of the float, netting the FTSE 100 firm a windfall, depending on how much of its holding it sells.
The carrier expects to raise around 120 million US dollars (£94.5 million) from the float.
Air Astana has 49 aircraft and carried seven million passengers in 2022, flying to major international destinations such as London, Amsterdam and Beijing.
It posted an operating profit of 149 million US dollars (£117 million) in 2022.
As one of the fast-growing airline groups, we firmly believe that Air Astana represents an attractive investment proposition, supported by strong financial and operational track record, significant growth opportunities, and an experienced, disciplined management team
Group president and chief executive Peter Foster said: “The response to the offering and strong investor interest have been very positive.
“As one of the fast-growing airline groups, we firmly believe that Air Astana represents an attractive investment proposition, supported by strong financial and operational track record, significant growth opportunities, and an experienced, disciplined management team.”
The business is also offering the sale of global depositary receipts, or GDRs, alongside shares in the IPO.
The GDRs represent shares in the company at the rate of one GDR having an interest in four shares, according to the group.