State share in the Uzbek commodity exchange to be sold on SPO

Shares of the commodity exchange will be put up for SPO, follows from the resolution of the Cabinet of Ministers.

In particular, 12% of the company's authorized capital will be put up for sale. The initiators of the auction will be “Uzmetkombinat” and AMMC.

It was announced in October 2018 that the state would reduce its share in the exchange.

Then expert Karen Srapionov, partner of the investment company Avesta Investment Group, explained that the news about the planned sale of the state's share in the JSC UZEX capital is a significant event and one of the most important chances for opening the capital market of Uzbekistan for foreign portfolio investors.

“It is noteworthy that the company is one of the most attractive enterprises in the country due to the regular growth of commodity turnover and income, significantly higher than the average market, quality of corporate governance and a clear development strategy,” Srapionov noted.

The expert then explained that the SPO mechanism will be applied, since the initial public offering (IPO) does not allow completely excluding the state share from the company's capital, but only erodes it.