Timur Turlov’s bank will receive an additional portion of capital

Freedom Bank will receive additional capitalization. This follows from the message of the financial institution. The decision was made on March 26, 2025.

The message says that the bank will issue approximately 4.15 million common shares within the announced amount. The securities will be placed on the unorganized market at the price of KZT5,900 per unit, and the only shareholder — Freedom Finance — will use its right of pre-emptive purchase. Based on the specified number of shares and price, the bank will receive additional capitalization of KZT24.5 billion (approximately $54.4 million).

Freedom Bank’s press service provided a commentary on Forbes Kazakhstan’s request, from which it follows that the pre-capitalization has already taken place: “[The pre-capitalization] is aimed at further development of digital services, including the consolidation of Freedom Holding Corp. companies into a single ecosystem based on a single application. (…) Thus, the bank’s equity capital increased to 220.6 billion tenge.”

As of January 1, 2025, the bank’s equity capital amounted to KZT209.4 billion. 31.9 million common shares out of the announced number of 53.5 million were placed. During the last three months, Freedom Bank has already received a “portion” of additional capital. In December 2024, the shareholder “injected” KZT20 billion into it by purchasing 3.39 million common shares, which were placed on the unorganized market at the same price — KZT5,900. It happened on December 23, 2024. At that time, the bank explained this action by “readiness to scale up”.

According to the National Bank’s summary table, as of February 1, 2025, Freedom Bank ranked eighth in terms of assets in Kazakhstan’s banking market with KZT2.5 trillion. The bank’s loan portfolio on the same date amounted to KZT789.9 billion, liabilities — KZT2.3 trillion, including KZT599.3 billion of retail deposits and KZT513 billion of corporate deposits.

“Freedom Finance” — the only shareholder of Freedom Bank — belongs to Freedom Holding Corp., whose founder and majority shareholder is Timur Turlov. As of January 1, 2025, the businessman owned 69.95% in the holding. Turlov ranks fourth in the rating of 50 most influential businessmen (2024) and fifth in the rating of 75 richest businessmen of Kazakhstan (2024). Forbes Kazakhstan estimates his fortune at $3.3 billion. Freedom Bank ranked ninth in the rating of banks in Kazakhstan in 2024.