Freedom Holding Corp (FRHC)

[Quintessence]

I was able to translate it from my PC:

Yesterday we published information on the purchase of its subsidiary bank Kassa Nova from Forte Bank in Kazakhstan. We have disclosed information and material terms of the agreement for the American Securities and Exchange Commission, as well as in accordance with the legislation of the Republic of Kazakhstan.

This is a very important step for our holding, which will allow us to gain even more advantages and strengthen our position in one of our key markets, the market where our headquarters is located.

We have owned a bank in Russia for more than three years now, and during this time we have been able to build one of the most liquid banks in the country, a small part of which comes from investments in government securities and corporate bonds of first-tier companies, and most of it comes from commission income from servicing payments and transactions of our many clients. Thanks to the bank in a group in Russia, we were able to really simplify, speed up and reduce the cost of the investment process for many clients and provide a full range of financial services in one window.

Now the holding has more than 200 thousand brokerage accounts. In Kazakhstan, over the past nine years, we have managed to gain the trust of more than 60 thousand clients. And this is indeed our main and unique asset. These clients include thousands of owners and top managers of small, medium and very large companies.

We have set, in fact, the standard in brokerage services in the country. In the professionalism of the team and in technological solutions, which can be boasted in Western Europe (where we are successfully competing and growing now). We are contributing to the development of online insurance, where since last year we have confidently held the lead in the number of electronic policies purchased by customers independently via the Internet and self-service kiosks.
We are confident that our current developments in banking, which have already been successfully implemented and tested in Russia, will help us in a short time to make a truly amazing technological, flexible and fast bank in Kazakhstan, capable of effectively competing for a client and providing immediate synergy with other companies of the group and projects. which I have invested in as a private person.

We want to make an effective investment bank with a full range of products, which will be able to offer the best card products, internet acquiring, a convenient and simple mobile application, where all insurance, investment and banking and other products will be collected. We want to become a bank that can make a really big contribution to the development of the stock market in Kazakhstan, bring it to a new stage. We want to become an institution that will create loan products for clients and businesses, but will not just keep them on its balance sheet, but will try to securitize and sell to other market participants.
We see ourselves as a primary dealer and one of the key market-makers in the market for state, quasi-state and the highest quality corporate debt on KASE and AIX. I am sure that thanks to a good capital reserve, we will be able to achieve, together with the regulator, the goal of achieving Emerging market status for the whole of Kazakhstan, stepping over from the Frontier step.

We start our story from scratch. As a result of the transaction, we will receive a bank without a portfolio of loans or any illiquid assets. And this is our greatest strength. We do not need to work on the mistakes of the past, like many other market participants. We will be able to focus on development. We have a reputation and financial resources. The holding has accumulated a good cushion of its own funds and continues to grow and earn every month.

The deal must be completed by the end of 2020 and is subject to regulatory approval. Until then, the bank will be managed by the current team. But we will start important integrations and will try to delight our customers early next year! It will be interesting!