The Bank of New York Appointed as Trustee by Kazkommertsbank for $300 Million Diversified Payment Rights Transaction
NEW YORK, February 14, 2006 - The Bank of New York, a global leader in securities servicing, has been appointed by JSC Kazkommertsbank, Kazakhstan to provide indenture trustee, registrar and paying agent services for its $300 million debut diversified payment rights (DPR) transaction.
The $200 million Floating Rate Notes Series 2005-A due 2012 is the first wrapped DPR issue from Kazakhstan and was co-arranged by WestLB AG, London branch and J.P. Morgan Securities Ltd. WestLB AG, London branch was also the sole arranger of a further $100 million non-wrapped 2005-B and 2005-C Notes, under a private placement.
Tatyana Lazareva, director of asset backed securitization at WestLB, said, "This innovative and complex transaction is the first wrapped securitization from the Commonwealth of Independent States region, and was only made possible by the expertise and effort of all the parties involved. Due to their significant experience with emerging market future flow securitization, we were happy to confirm The Bank of New York as trustee and paying agent. Their contribution assisted significantly in the timely execution of the deal."
Karen Peetz, executive vice president and head of The Bank of New York’s Corporate Trust Division said, "Our global structured finance team has acquired many years of expertise in administering to DPR and other future-flow issues, which enabled us to successfully guide Kazkommertsbank through some of the nuances of this transaction. We are committed to continued diversification and enhancement of our services to remain at the forefront of the emerging markets in Europe, Africa and Latin America."
According to the company’s offering circular, Kazkommertsbank is the largest bank in Kazakhstan, measured by total assets as of June 30, 2005, providing wholesale and retail banking and other financial services. Kazkommertsbank’s principal activities traditionally have been the acceptance of deposits and the provision of loans and other credit facilities in Tenge and foreign currencies. Through its commercial banking business, Kazkommertsbank provides products and services to predominantly medium- and large-sized Kazakhstan and international corporations operating in Kazakhstan, including trade and structured finance products, project finance, e-banking and asset management services, as well as short-term credit facilities and other general banking services.
The Bank of New York is a leading provider of corporate trust and agency services. The Bank and its subsidiaries and affiliates administer a portfolio of more than 90,000 trustee and agency appointments, representing $3 trillion in outstanding securities for more than 30,000 clients around the world. The Bank is a recognized leader for trust services in several debt products, including corporate and municipal debt, mortgage-backed and asset-backed securities, derivative securities services and international debt offerings.
The Bank of New York Company, Inc. (NYSE: BK) is a global leader in providing a comprehensive array of services that enable institutions and individuals to move and manage their financial assets in more than 100 markets worldwide. The Company has a long tradition of collaborating with clients to deliver innovative solutions through its core competencies: securities servicing, treasury management, investment management, and individual & regional banking services. The Company’s extensive global client base includes a broad range of leading financial institutions, corporations, government entities, endowments and foundations. Its principal subsidiary, The Bank of New York, founded in 1784, is the oldest bank in the United States and has consistently played a prominent role in the evolution of financial markets worldwide. Additional information is available at http://www.bankofny.com/.
This announcement is not an offer to sell or a solicitation of an offer to buy any securities. The offering is made only by means of the prospectus.
