The government has invested a further 1.51 billion KGS in ‘Ala-Too Resort’ — the transaction took place on the stock exchange

On 20 August, a transaction took place on the Kyrgyz Stock Exchange (BTS) to place additional shares in OJSC ‘Ala-Too Resort’ worth 1,510 million KGS. Thus, the previously announced capital increase for the state-owned company has moved from the planning stage to the actual placement of securities.

According to stock exchange trading statistics, 1,510,000 ordinary shares of the company were placed on the primary market at a price of 1,000 KGS per share.

The decision on the additional issue was taken by the company’s sole shareholder on 12 August. The shares were placed via a private placement amongst the state, which owns 100 per cent of the company.

Following the placement, the total number of ‘Ala-Too Resort’ shares is set to reach 6,993,736. The authorised capital will increase from 5,483.7 million KGS to 6,993.7 million KGS, or by 27.5 per cent.

The additional funds are intended to finance the company’s operations and the implementation of the ‘Ala-Too Resort All-Season Mountain Cluster’ project.

The resort is being built in Jyrgalan, in the Issyk-Kul Region. The project involves the construction of ski runs, ski lifts, hotels and other tourist infrastructure. In winter, the cluster is designed to cater for downhill skiers and snowboarders, whilst in summer it will focus on the development of trekking, horse riding and eco-tourism.