Off The Wire
JPMorgan takes lead advisory role in Kazatomprom's London listing - sources
LONDON, Nov 29 (Reuters) - Kazakhstan's state uranium miner Kazatomprom has hired JP Morgan as its lead adviser for a London listing planned for 2018, two sources told Reuters.
Central Asia's biggest economy has started an ambitious privatisation programme after being hard hit by the 50 percent fall in world oil prices since 2014.
Kazatomprom is aiming to float up to 25 percent of the company. It is the world's second largest uranium producer by proven reserves, accounting for 24 percent of global production. Its net income stood at $326 million in 2016, according to its website.
"JP Morgan is leading the flotation process," one of the banking sources said.
The company was not immediately available to comment. JPMorgan declined to comment.
Spot prices of uranium, used to power nuclear reactors, dipped to a 13-year low late last year and have rebounded only modestly in 2017.
Kazakhstan's $67 billion sovereign wealth fund Samruk-Kazyna has sold more than 120 small and mid-sized firms and it is preparing to privatise larger firms such as oil producers KazMunayGaz (KMG) and Samruk Energy and flagship carrier Air Astana, with stake sales through initial public offerings. (Reporting by Clara Denina and Maytaal Angel. Additional reporting by Peter Hobson and Olzhas Auyezov; Editing by Elaine Hardcastle)