Moody’s assigned a Ba1 long-term rating to the expected senior unsecured US dollar-denominated Eurobonds of Astana Finance B.V. The bonds are guaranteed by Kazakhstan Astana Finance, a sole owner of the issuer. The rating reflects a high support from the Astana city, which is a key shareholder of AFBV via AF in which it keeps a 30.2% stake. The city government also conducts regular capital injections to AF and declared unconditional support in case AF was unable to meet its obligations. Besides, AF’s role in the development of Astana is significant. The ratings are constrained by a possible merger, asset sale or change of control, which means reduction of Astana city stake in AF. Astana Finance is rated B1 by Moody’s. Besides, Fitch assigned (simultaneously with AFBV rating) to the company a long-term BB+ rating with stable outlook, short-term B, individual D/E and support 3 ratings. AF reported that its assets amounted to US$298 million as of Sept. 30, while capital reached US$100 million.
