Verny Investments Holding was established in 2006 as a private equity group.

Funding is derived from the group’s largest investment and exit to date, ATF Bank of Kazakhstan sold to Unicredito for approximately USD 2.2 billion (5x book value) in June 2007.

Excluding ATF Bank, USD 708 million has been invested in Kazakhstan, Russia over 2005-2008 period in 9 operating companies.

Exits generated USD 876 million in 2008, 3.2 times equity multiple for investments exited.

Verny Investments LLP established in 2008 to act as investment adviser to Fund II GP sourcing and recommending investments in Central Asia and the CIS.

Deal highlights 2007 & 2008:

• the build-out of ATF Bank into the 3rd largest bank in Kazakhstan by assets and its subsequent sale to Unicredito Italiano for USD 2.2 billion representing 5.5X book value and a 4.9X multiple of money invested. This was the highest valuation achieved for a transaction of this size in financial services in the former CIS;
• the acquisition of a Kazakh mobile operator in 2005, the subsequent sale of 50% of the company to Vimpelcom of Russia, and the build-out of what has become the largest mobile operator in Kazakhstan. Following the exercise of an option by Vimpelcom to acquire an additional 25% in the company, this partial exit generated USD 562 million in cash for investors in June 2008 representing a 3.2X multiple of money and an IRR of 41.9%. Using the June ’08 exit valuation, the exercise of the option to acquire the remaining 25% by Vimpelcom will generate a multiple of money of 7.2X and an IRR of 72.2%; and
• the acquisition of the largest gold deposit in Central Asia, located in Kazakhstan, in 2007 and a sale of 40% to Glencore in 2008 returning USD 299 million in cash representing a 4.5X multiple of money. The sale of the remaining 60% at the Glencore purchase valuation will provide an 11.1X multiple of money.