Uzbekistan National Investment Fund Unveils $1.95 Bn Dual-Listing IPO
The Uzbekistan National Investment Fund (UzNIF) has started its initial public offering (IPO) with subscription applications remaining open until May 12. The formal declaration of the offering was published on the London Stock Exchange website.
The share placement is designed to unfold across two distinct markets. The domestic offering is tailored for institutional and retail investors within Uzbekistan while the international tranche targets overseas institutional investors through global depositary receipts (GDRs).
Pricing has been firmly set at $25 per GDR alongside a local rate of 4.65 soums per individual security. With a total volume exceeding five trln shares, the fund’s overall market capitalisation is valued at approximately $1.95 bn.
As part of this major public listing, the Uzbek government, currently acting as the sole shareholder, intends to offload roughly 30% of its total stake in the fund. UzNIF itself will not retain any of the capital raised from the sale as all financial proceeds will be channelled directly into the national state budget.
Prominent international financial institutions including BlackRock, Franklin Resources and Redwheel have already signalled their intent to inject an estimated $300 mln into the newly listed securities.
Meanwhile, domestic retail buyers are being incentivised to participate with a 5% discount. This allows local citizens to purchase shares at a reduced price of 4.41 soums each, provided their total investment does not exceed 12 bn soums ($997,572). Interested domestic parties can secure their subscriptions through traditional financial brokers or by using the Jett online trading platform.
Following the closure of the subscription window, the company plans to list its standard shares on the Tashkent Republican Stock Exchange while the GDRs will float on the London Stock Exchange. Official public trading is anticipated to commence around 18 May.
