A series of practical seminars «Getting trained for IPO» was held on the basis of the AIFC Bureau for continuing professional development within Astana Finance days. The training was held for specialists of companies considering the possibility of entering the international capital markets and attracting foreign investment.
Among the speakers were such experts as Chairman of the AIFC Academic Council Alexander Van de Putt, Regional Head of Policy-Emerging Markets ACCA Global Vikas Aggarwal, Partner at Alpha Governance Partners Dr. Giuseppe Ballocchii, managing Director of Central Europe, Eastern Europe, and CIS, Refinitiv Antonio de Gregorio and others.
«Getting trained for IPO» is the first presentation of the training program to prepare companies for IPO. However, now not only Kazakh organizations have shown interest in it, but also entrepreneurs from Uzbekistan and Russia, who presented their projects at Astana Finance days. More than 50 companies from Kazakhstan and foreign countries took part in the seminar.
The program of seminars focused on topical issues related to the IPO, the problems of companies in the process of entering the public market and solutions that are ready to offer AIFC experts.
Deputy CEO, AIFC Authority Yernur Rysmagambetov noted that the IPO covers different aspects starting from HR, investment management, accounting to risk management. According to him, in most cases, large companies enter the IPO, while mid-level companies work, do business, but never thought about attracting a foreign investor. Therefore, the AIFC Bureau intends to offer tools and expertise with which medium-sized businesses could prepare themselves for entering the international stock markets.
«Together with our partners, we want to start training large companies in international certification. Then we want to share this experience with the entire market. We hope that in the coming years there will be more companies that have entered the capital markets due to increased awareness and professionalism of key employees. We intend to expand the range of educational programs, international certifications, to continue to facilitate preparations for the IPO», said Yernur Rysmagambetov at the site of the seminars «Getting trained for IPO» .
The importance of small and medium-sized businesses (SMEs) has become a separate topic for discussion at seminars. Thus, during his speech, Vikas Aggarwal noted that a stable SME seeks to reach the international level and in order to become advanced in the market, small and medium-sized businesses need to invest as much as possible in new technologies, products, and services.
«We need to look at what funding mechanism is suitable. Of course, the way to an IPO is long and difficult, but at the same time, it has a large number of advantages. The advantages of an IPO are such as the possibility to attract significant funds for investment in research and development. Anyway, you need to understand why you need IPO and then on this basis, to move in the right direction», - concluded Vikas Aggarwal.
Korn Ferry senior consultant (Kazakhstan) Irina Chernozubova also supported Mr. Aggarwal and stressed that every employee from the director to the worker should understand in what direction the company is moving, what are the plans for the future. The motivation system should be appropriate.
«The basic salary, fixed payments – this is a factor that we establish in order to attract and retain specialists. Next, are the short-term and long-term instruments. These can be well-known bonuses, profit-sharing, sales commissions, options, shares, and compensation. This is what relates to the financial part of the motivation of any specialist, including the senior team», she said.
An IPO is an increase in the company's openness. According to Antonio de Gregorio, managing Director of Refinitiv CIS, Kazakhstan has great potential for financial development due to its territorial location – between Europe and China. However, the development of the country's economy is hampered by the closeness of Kazakh companies.
«The absence of a critical mass of public, open companies does not allow to attract such volume of investments to the market of Kazakhstan as it could be. And such tool as IPO, in this regard can give a good impetus to development, - he explained. – This is a very important step to increase the liquidity of the investment environment.»
As a result of the conference, it is planned to collect the most promising companies with which mentors will start working in September.
«We want to work out all the programs with these companies, train them and help them attract investments. And already having this experience, share our strategy with the entire market, so that everyone knows about how it is done, what path you need to go», - said the Deputy CEO of AIFC Authority.
As a result of the seminars, experts agreed that the emergence of a significant number of public companies will also have a multiplier effect on the entire economy. In particular, it will attract significant funds for research and development work.
The seminars «Getting trained for IPO», aimed at the professional development of Kazakhstani specialists, and for the first time took place in the capital within the framework of the Astana Finance days. The accumulated international and local expertise of the AIFC Bureau is necessary for professional training of national and private companies in the context of entering the stock market, attracting investors, as well as the process of privatization and attracting capital of national and private companies in the Region.