OREANDA-NEWS. September 13, 2007. Seimar Alliance Financial Corporation (hereinafter referred as SAFC) increased its share in the capital of Alliance Bank to 74.7% as a result of purchasing shares of minority shareholders. Purchase of 19.2% of common shares was carried out by SAFC pursuant to option agreements with minority shareholders; information on these option agreements was included in prospectus during IPO of Alliance Bank.

These shares were purchased by SAFC pursuant to an option agreements entered into by unrelated shareholders of the Bank with Mr. Margulan Seisembayev, Chairman of the BoD of Alliance Bank Following the offering of shares of Alliance Bank, SAFC owned 55.5% of all voting shares of the Bank.

The purchase of shares was financed by funds of SAFC raised during an IPO of Alliance Bank on London Stock Exchange in July 2007.

SAFC deems it necessary to make a clarification in connection with statement made on September 6, 2007 where SAFC has informed placing proceeds of an IPO on accounts with Alliance Bank. Proceeds of an IPO of Alliance Bank totaling US$ 704m were used for paying out premiums of IPO arrangers, financing increase share of SAFC in the capital of Alliance Bank and to developing the rest members of the group. Currently only US$ 220m is placed as a deposits with Alliance Bank.

Seimar Alliance Financial Corporation (SAFC) is a holding management company that was founded by Seimar Investment Group in December 2006; it owns controlling stakes in subsidiaries and banks: Kazakhstan Alliance Bank, Russian Star Bank, financial brokers Alliance Finance, Alliance Retail Group, Dom Kreditov and others. On September 4, 2007 Moody's Investors Service has assigned long-term and short-term Ba3/Not-Prime ratings to SAFC in foreign and national currencies; the outlook is "stable".