The EDB successfully places bonds for KZT 50 billion to finance the modernisation of Almaty CHPP-3

Almaty, 27 February 2025. The Eurasian Development Bank (EDB) has successfully placed three-year bonds worth KZT 50 billion (over US $100 million) on the Kazakhstan Stock Exchange (KASE). The bonds carry a floating coupon rate linked to the base rate of the National Bank of Kazakhstan and will finance the modernisation of Almaty CHPP-3. This project marks a significant step towards enhancing Almaty's energy infrastructure and improving its environmental conditions.

The reconstruction of CHPP-3 involves converting its generation system from coal to natural gas. This transition is expected to significantly reduce harmful emissions, improve air quality and enhance the reliability of power supplies in the city.

The bond issue attracted substantial investor interest, with bids exceeding the offer by KZT 9 billion, demonstrating strong confidence in the EDB and the strategic importance of the project.

Jusan Invest, a leading investment bank in Kazakhstan with a strong track record in large offerings on capital markets, acted as the issue's arranger. Freedom Finance served as the co-underwriter, helping to broaden the investor base.

The proceeds will finance the reconstruction of CHPP-3 by Samruk-Energy, the parent company of Almaty Electric Power Plants (AlES). A key component of the project is the installation of a combined-cycle gas turbine unit with a capacity exceeding 500 MW, ensuring efficient electricity and heat generation in compliance with modern environmental standards.

This project aligns with international ESG standards, reinforcing the EDB's commitment to sustainable financing. It continues the Bank's collaboration with AlES and the Astana International Financial Centre (AIFC), which previously registered a KZT 236.8 billion sustainable development bond programme.

"The reconstruction of CHPP-3 is a crucial step towards enhancing the environmental sustainability of Almaty's energy sector In addition to upgrading infrastructure, this project reduces environmental impact, which makes it particularly important for the city. We are pleased that investors share our vision and have supported the bond issue," said Daniyar Imangaliyev, Vice Chairman of the EDB Management Board.

"We are proud of the EDB's successful bond placement, which finances a critical infrastructure project. The strong investor demand reflects confidence in the Bank's stability and underscores the importance of modernising Almaty's energy infrastructure. We are pleased to continue our partnership with the EDB in attracting investments for strategically important projects," added Sanzhar Ospanov, Managing Director at Jusan Invest.

In 2023, the EDB signed an agreement with AlES to support its transition from coal to gas-fired generation.

Additional Information:

The Eurasian Development Bank (EDB) is a multilateral development bank investing in Eurasia. For more than 18 years, the Bank has worked to strengthen and expand economic ties and foster comprehensive development in its member countries. The EDB's charter capital totals US $7 billion. Its portfolio consists principally of projects with an integration effect in transport infrastructure, digital systems, green energy, agriculture, manufacturing and mechanical engineering. The Bank adheres to the UN Sustainable Development Goals and ESG principles in its operations.

Jusan Investis a leading investment bank in Kazakhstan, offering asset management, brokerage and listing services. The company actively fosters stock market development, facilitating capital raising for strategic and corporate initiatives.

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