PRESS RELEASE

Islamic Infrastructure Fund invested into capital of
JSC «Central-Asian Electric Power Corporation»

«Central-Asian Electric Power Corporation» Joint-Stock Company (hereinafter referred to as CAEPCO or Company) on 25th of April, 2011 signed an equity investment agreement with Islamic Infrastructure Fund (hereinafter referred to as Fund or IIF) by mean of subscription for common shares. The Fund is investing 50 million USD to the share capital of the Company.

The Islamic Infrastructure Fund (IIF) is mutual fund of the Islamic Development bank (IDB) and the Asian Development Bank (ADB). Managing organization of the Fund is Capital Advisors Partners Asia (hereinafter referred to as CapAsia) a private company with headquarter located in Singapore.

The signing of equity investment agreement with CAEPCO is the first project of investments of the Fund into the equity of private power company in the Republic of Kazakhstan. Attracted capital will be utilized for realization of investment program of the Company which developed in accordance with and approved by authorized Governmental bodies. The program includes activities connected with increasing of capacity of generating assets of the Company in Pavlodar and North-Kazakhstan regions, improvement of ecological parameters of production, waste management, reconstruction and modernization of heating and power supply network assets aimed for reducing of heat and energy loses.

Signing of the agreement with the Fund is further step in collaboration of the Company with International Institutes for Development. In 2009 the Company attracted equity financing from European Bank for Reconstruction and Development (EBRD) for realization of investment program. The Company also invests its own funds into realization of the project under the terms of agreements with investors.

As Mr. Aleksandr Klebanov, Chairman of the Board of Directors of «Central-Asian Electric Power Corporation», JSC mentioned: «The investment of Islamic Infrastructure Fund into equity of CAEPCO has a great importance not only for our Company, but also for the entire power sector of the Country. Today’s deal confirms the fact that power industry in Kazakhstan is becoming very attractive for private investors as well as for major International Institutes for Development. And it is first of all related to positive changes taking place in the power industry recent years. Investment into capital from such investors as Asian Development Bank and Islamic Development Bank is always considered as an evidence of high confidence of International Institutes for Development in transparency and prospects of business of our Company».

Dr. Johan Bastin, CEO of CapAsia said: «It is our first investment into Central Asia. We are delighted to become a partner of one of the largest private power companies in Central Asia and European Bank for Reconstruction and Development, who are the main investors. CAEPCO attracted our attention with its professional management, corporate culture and excellent reputation. We are proud to support its ambitious investment program aimed for improving of operational characteristics, enhancing energy efficiency and reducing of hazardous emissions.

We consider Kazakhstan as main market for IIF due to commitment of the Government of Kazakhstan to further attraction of private sector to development and financing of infrastructure of the country».

CAEPCO is the largest private vertically-integrated power company in Kazakhstan which produces above seven percent of the country’s total electricity. The company operates 4 combined heat and power plants (Pavlodar CHP-2 and CHP-3, Ekibastuz CHP, Petropavlovsk CHP-2), electricity transmission lines of Pavlodar and North-Kazakhstan regions, heat networks in Pavlodar, Ekibastuz and Petropavlovsk, sales companies in Pavlodar, Petropavlovsk and Astana. Shareholders of the Company are «Central-Asian Power Energy Company», JSC and European Bank for Reconstruction and Development.

The Islamic Infrastructure Fund (IIF) was established at the initiative of the Islamic Development bank (IDB) and the Asian Development Bank (ADB). The Fund makes investments in the economic and social infrastructure sectors in the countries of Asia that are countries of operation of both the IDB and ADB.

CapAsia is a private equity firm investing in the infrastructure sectors in the emerging economies of Asia outside of China and India. Founded in 2006, the firm has offices in Singapore, Kuala Lumpur, Jakarta, and Bangkok. CapAsia currently manages US$460 million across three funds.  CapAsia believes that its track record, singular geographic coverage, on the ground presence in key markets and mid-market focus provide unique advantages to the investors in the funds it manages.

Financial adviser to CapAsia is Blackstone Capital Company, legal adviser is Chadbourne & Parke.

For additional information please contact Ms. Yelena Vakirova: 
Office line 8(727) 333 42 69, mobile: +7 (701) 208 17 14, +7 (701) 758 12 01,
E-mail: vakirova71@mail.ru