Freedom Holding Corp (FRHC)

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PHOTOGRAPHER
Vladimir Tretyakov
16.05.2017 • 16:32 1639
Freedom Finance can buy Asyl-Invest for 1.5 billion tenge
The merger will be the biggest company on the stock market

" Freedom Finance" will acquire 100% of shares of " Asyl-Invest" before the end of this year. The company plans to return the funds spent on the deal within 1-2 years, reported at a press conference Director General of " Freedom Finance" Timur Turlov. It is reported by the correspondent of the business information center Kapital.kz .
" For us it is an important acquisition and the opportunity to create synergies for business and both companies' customers. Business combination will allow us to get the two most important asset - the staff and expertise " Asyl-Invest" - Turlov said.
For the stock market is no less important deal, he continued, because united under the brand name " Freedom Finance" company will be able to maintain full competition not only among the local players, but with broker companies in foreign jurisdictions. The initiator of the proposal was the " Freedom Finance", but it fell on fertile ground, so the talks were easily added Turlov.
The amount for which " Freedom Finance" ready to buy a business " Asyl-Invest", is more than 1.5 billion tenge. Similarly, it will be called after the closing of the transaction.
" As a result of the merger, we believe it is possible to increase its profitability in the three times due to the fact that we can offer our customers, who are served in the" Asyl-Invest ", most exciting products. This may allow us to fast for 1-2 years to cover the cost that we paid for the business " Asyl-Invest", - the speaker said.
Many employees " Asyl-Invest" from the state in 30 people will go to work in the new company, but there are some who leave it on its own initiative after the deal, he said. Although some of the staff service units have to lay off, but they'll get a solid compensation in excess of the norms of labor legislation.
The customer base of the new brokerage company will be 50 thousand customers, of which 30 thousand are.. " Freedom Finance", and a little less than 20 thousand -. To "Asyl-Invest". They can be served in all 13 branches of " Freedom Finance", located in all major regions of the country. Customers do not have to renegotiate the contract, they will automatically become customers of the merged company, said Timur Turlov.
Operating expenses " Freedom Finance" as a result of the merger will increase, because it is supported by most of the team " Asyl-Invest", but the total cost of both companies will be reduced due to the synergy. In this case Timur Turlov unable to estimate the market share that " Freedom Finance" will receive after the merger. But according to the ranking in terms of turnover on trades of KASE, " Freedom Finance" is the first line, "Asyl-Invest" - the second and third.
He also added that he almost did not see the assets in the market, which would be of interest for Freedom finance. And indeed, those who could, in principle, to buy investment company. Strong companies besides Freedom finance on the market a lot, "but by virtue of belonging to other financial and industrial groups are strongly tied to the relationship, which is very difficult to call the market", said Timur Turlov.
" Therefore, these companies is difficult to buy, because it is impossible to buy due former shareholders. You can buy it retail clients just because you do not lose them after the departure of former team, "- he said.
https://kapital.kz/finance/59818/fridom-finans-mozhet-kupit-asyl-invest-za-1-5-mlrd-tenge.html