CITIC BANK BUYS 60PC KAZAKH’S ALTYN STAKE

Transaction expected by year-end, says vendor Halyk Bank

CHINA Citic Bank Corp and another Chinese state-owned company agreed to buy a controlling stake in Kazakhstan’s Altyn Bank as President Xi Jinping ramped up an overseas trade and infrastructure push called “One Belt, One Road”.

Citic Bank and the investment arm of state-run China Tobacco Co would buy a 60 per cent stake in Altyn Bank, pending regulatory approvals, said the Chinese lender in an exchange filing on Wednesday.

The transaction was due to be completed by year-end, said vendor Halyk Bank in a separate statement, adding Citic Bank that it would retain 40 per cent. No deal and the value was disclosed. investment arm of

The transaction state-run China comes as Xi visits Kazakhstan for a Tobacco Co will summit of the buy a 60 per cent Shanghai Cooperation stake in Altyn Organisation, a political, economic Bank, pending and military regulatory organisation approvals. founded in 2001 by China, Kazakhstan,

CHINA CITIC BANK CORP Kyrgyzstan, Russia, Tajikistan and Uzbekistan.

China’s “Belt and Road” initiative was aimed at expanding infrastructure and trade links between Asia and Europe, while at the same time, exporting China’s excess industrial capacity and deepening diplomatic ties.

China’s investment in Kazakhstan exceeded US$42.8 billion (RM182.33 billion) and loans to the nation amounted to more than US$50 billion, Xi wrote in an article prior to his visit.

Beijing-based Citic Bank has operations in Hong Kong, London and Sydney.

Shares of Citic Bank rose 0.2 per cent in Hong Kong trading as of 9.58am, while the benchmark Hang Seng Index was little changed. Bloomberg