06.06.2024 11:11
Freedom Broker Places Subsidized Bonds for the Construction of NOVOTEL Hotel
June 6, 2024, Almaty
Freedom Broker has placed 10-year bonds of LLP "Orient Group KZ" in the amount of 7 billion tenge on the Kazakhstan Stock Exchange (KASE). This is the first project in Kazakhstan under the "Unified Comprehensive Program" – subsidizing part of the coupon interest rate with the support of JSC "Entrepreneurship Development Fund 'Damu'" (Damu Fund), issued for such a significant term. The coupon interest rate on the bonds is fixed for the entire 10-year period at 19.75% per annum, of which 6% will be paid by the issuer, and the remaining 13.75% will be subsidized by the Damu Fund.
The main investors during this placement were clients of Freedom Broker. The funds raised are planned to be directed towards investment purposes: the construction and equipping of a new 4-star hotel in the city of Pavlodar – the administrative center of Pavlodar region. The hotel, designed for 120 rooms, will be developed under the international brand NOVOTEL as a franchise in the hotel business of the international hotel chains Accor, which have at least a thousand hotel properties in ten or more countries worldwide.
The construction of NOVOTEL will have a significant socio-economic impact on the region, contributing to the increase in job opportunities, tax revenues to the local budget, attracting new investors, and increasing tourist traffic to the region. The implementation of such projects has become possible thanks to the State support measures for business development, which were developed by the Ministry of National Economy, the Damu Fund, and the Ministry of Tourism and Sports.
This issue of subsidized bonds is another for Freedom Broker, indicating substantial investor interest in such bonds. Previously, the company placed 3-year green bonds of LLP "BLACK BIOTECHNOLOGY" (BBT) in the amount of 1.5 billion tenge.
Reference:
Freedom Broker provides its clients with brokerage services on KASE and AIX, market-making services for maintaining securities quotations, financial consulting, and the organization of debt and equity financing. The company is part of the international investment group Freedom Holding Corp. The holding's shares have been listed on the Nasdaq Capital Market under the ticker FRHC since October 15, 2019. The activities of Freedom Holding Corp. are regulated by the U.S. Securities and Exchange Commission (SEC).
LLP "Orient Group KZ" (ORNTpp1) – a company whose main activity is providing hotel and similar accommodation services. Secondary activities include real estate operations, commercial activities, and others. It has been operating since 2005.
Freedom Broker has placed 10-year bonds of LLP "Orient Group KZ" in the amount of 7 billion tenge on the Kazakhstan Stock Exchange (KASE). This is the first project in Kazakhstan under the "Unified Comprehensive Program" – subsidizing part of the coupon interest rate with the support of JSC "Entrepreneurship Development Fund 'Damu'" (Damu Fund), issued for such a significant term. The coupon interest rate on the bonds is fixed for the entire 10-year period at 19.75% per annum, of which 6% will be paid by the issuer, and the remaining 13.75% will be subsidized by the Damu Fund.
The main investors during this placement were clients of Freedom Broker. The funds raised are planned to be directed towards investment purposes: the construction and equipping of a new 4-star hotel in the city of Pavlodar – the administrative center of Pavlodar region. The hotel, designed for 120 rooms, will be developed under the international brand NOVOTEL as a franchise in the hotel business of the international hotel chains Accor, which have at least a thousand hotel properties in ten or more countries worldwide.
The construction of NOVOTEL will have a significant socio-economic impact on the region, contributing to the increase in job opportunities, tax revenues to the local budget, attracting new investors, and increasing tourist traffic to the region. The implementation of such projects has become possible thanks to the State support measures for business development, which were developed by the Ministry of National Economy, the Damu Fund, and the Ministry of Tourism and Sports.
This issue of subsidized bonds is another for Freedom Broker, indicating substantial investor interest in such bonds. Previously, the company placed 3-year green bonds of LLP "BLACK BIOTECHNOLOGY" (BBT) in the amount of 1.5 billion tenge.
Reference:
Freedom Broker provides its clients with brokerage services on KASE and AIX, market-making services for maintaining securities quotations, financial consulting, and the organization of debt and equity financing. The company is part of the international investment group Freedom Holding Corp. The holding's shares have been listed on the Nasdaq Capital Market under the ticker FRHC since October 15, 2019. The activities of Freedom Holding Corp. are regulated by the U.S. Securities and Exchange Commission (SEC).
LLP "Orient Group KZ" (ORNTpp1) – a company whose main activity is providing hotel and similar accommodation services. Secondary activities include real estate operations, commercial activities, and others. It has been operating since 2005.
Media Contacts:
E-mail: [email protected]