Troubled Kazakh bank Alliance to meet London-based investors
LONDON Dec 9 (Reuters) - Alliance Bank's dollar bonds fell on Monday as the lender, majority owned by Kazakhstan's sovereign wealth fund, called its investors to a meeting in London to discuss its finances.
Alliance defaulted on its debt in the aftermath of the 2008 financial crisis. Its dollar bonds fell to record lows earlier this year on fears that the lender was heading towards a second debt restructuring.
Non-performing loans still make up more than 30 percent of the loan portfolios of Kazakh banks, according to the country's central bank, and Alliance's peer BTA has been through two restructurings since the crisis.
The Alliance meeting on Dec. 13 would discuss the "current financial situation", the bank said in the invitation seen by Reuters, without elaborating. It said it had appointed law firm White & Case and investment bank Lazard Freres as legal and financial advisors respectively.
It invited holders of its debt, shares and global depositary receipts to the investor presentation.
Kazakh wealth fund Samruk-Kazyna holds a 67 percent stake in Alliance but is in the process of selling its stake to Kazakh billionaire Bulat Utemuratov.
In a first stage of that deal, the state will retain a controlling stake in the bank.
The bank's 2017 dollar bond was marked down 1-2 points in price, leaving it to trade around 58-59 cents on the dollar. That is well off end-May levels of over 96 cents but above a record low hit early in October of around 40 cents.
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