Air Astana, the central Asia airline backed by BAE Systems, has announced its plans to list on the London Stock Exchange in February. This move will involve the sale of stock held by BAE Systems and aims to raise $120 million to support the airline’s growth strategy.
Expansion into New Markets
Alongside the London listing, Air Astana also intends to list on the Kazakhstan stock exchange around the same time. The offering will include the sale of shares and global depositary receipts (GDRs) held by BAE Systems (Kazakhstan) and sovereign wealth fund Samruk-Kazyna (SK).
Additional Allocation Option
As part of the global offering, BAE Systems plans to grant an overallotment option for up to 15% of the global offer GDRs. The final offer price and the maximum number of GDRs and shares to be sold will be determined through a bookbuild process.
Strategic Milestone
Air Astana currently operates a fleet of 49 aircraft and has transported approximately 6.0 million passengers in the first nine months of 2023. The company views this listing as a significant milestone in its long-term strategy and looks forward to welcoming new Kazakh and international investors as shareholders.
Positive Market Response
BAE Systems’ shares have already experienced a positive response following the announcement. As of 0802 GMT, the share price had increased by 0.3%, or 3.50 pence, reaching 1,182 pence.
