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16 I Companies & Markets bne March 2021
a portion of their income into stocks and bonds, the CBR said. "The purchase of foreign securities can be partially explained by the redistribution of households' savings in foreign currency from deposits to investments with higher expected returns," the regulator said.
"At the same time, most of the inflow was provided
by investments in foreign shares, which indicates the emergence of a risk-oriented strategy in the behaviour of the population, in addition to traditional ways of investing in debt instruments,” the CBR added.
The CBR is tracking this new increased risk-taking behaviour with some concern, as it worries that it could start to have
an impact on the value of the currency. The regulator also is worried about the inexperienced population taking bigger risks on the securities markets and has introduced regulations to prevent unqualified retail investors from investing into high- risk instruments like derivatives.
While there are also significant amounts being invested into the domestic equity market, the outflow of funds into foreign stock markets is significant.
Russians bought shares of companies registered in foreign
Buyout bid for KAZ Minerals raised after undervaluation claims
Kanat Shaku in Almaty
Nova Resources – the consortium bidding to take London-listed copper miner KAZ Minerals private, led by company chairman Oleg Novachuk and billionaire Vladimir Kim – has raised its buyout offer to £7.80 per share for the 61% of KAZ Minerals it does not already own from
its previous strike price of £6.40 in an attempt to appeal to minority shareholders.
The £6.40 offer was made in October. A source familiar with the matter told bne IntelliNews that the KAZ Minerals’ document announcing the new offer price, published on February 4, suggested that no investors had taken it up.
“The Increased Offer Price values the entire issued and to-be-issued share capital of KAZ Minerals at approximately
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jurisdictions in 2020 worth RUB415bn rubles ($5.6bn). Of this amount, RUB70bn rubles ($949mn) went into shares of issuers in foreign domiciles affiliated with Russian companies.
However, the bulk of the money went into the obvious international bluechip names, including the American companies listed in the main stock indices, S&P 500, NASDAQ and Dow Jones, which account for the largest influx of funds.
The largest increase in household investments was observed on the St. Petersburg exchange: the volume of net purchases of non-resident shares for the year soared 30-fold, from RUB8bn ($108mn) to RUB242bn rubles ($3.3bn) year on year.
As of January 1, 2021, the total volume of investments of individuals in non-resident shares (in particular on the Moscow Exchange) amounted to RUB570bn rubles ($7.7bn), and investments of individuals in shares of non-residents affiliated with Russian companies amounted to RUB142bn rubles ($1.9bn), Tass reports.
The inflow of funds from individuals into bonds of non- residents for 2020 amounted to RUB223bn rubles ($3bn),
of which RUB95bn rubles ($1.3bn) account for bonds of non- residents affiliated with Russian companies.
The company operates the Aktogay and Bozshakol (pictured) open pit copper mines in Kazakhstan.
£3.7bn, and represents a premium of approximately 22% to the Original Offer price of 640 pence in cash for each KAZ Minerals Share,” the document said.
KAZ Minerals and its subsidiaries engage in mining and processing copper and other metals in Kazakhstan and Kyrgyzstan. The company operates the Aktogay and Bozshakol open pit copper mines in Kazakhstan along with three underground mines. It is also developing the Bozymchak copper-gold mine in Kyrgyzstan. Moreover, the firm is developing the Baimskaya copper deposit in Russia’s Chukotka autonomous region. The deal is seen as potentially one of
the biggest ever for Kazakhstan, as KAZ Minerals is a major stock on the London Stock Exchange (LSE) for international metal investors.