The capital raised at the Cambodia Securities Exchange (CSX), the local stock market, since it was launched in 2012 has surpassed $130 million, according to a CSX official.
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The bourse now has five listed companies – Phnom Penh Water Supply Authority, Grand Twins International (Cambodia) Plc, Sihanoukville Autonomous Port, Phnom Penh SEZ Plc, and Phnom Penh Autonomous Port – plus two firms that have issued bonds – Hattha Kaksekar Limited and LOLC.
Hong Sok Hour, CSX CEO, told Khmer Times yesterday that the five publicly traded companies have mobilized about $80million, while bond issuers Hatta Kaksekar Limited and LOLC have managed to raise $50 million.
“This shows the potential of the local bourse for companies seeking funds to expand their operations,” said Mr Sok Hour. “CSX helps these companies earn trust and recognition from the public and investors.”
He noted that listed companies are also rewarded with attractive tax incentives, including a 50 percent deduction of the income tax.
Mr Sok Hour said several companies have recently shown interest in joining CSX, including some that have already submitted the necessary documentation to the Securities and Exchange Commission of Cambodia, the sector’s regulator.
“We expect a few more companies to list their stocks and bonds at CSX shortly,” he said.
Mr Sok Hour did not disclose any specific names.
In June, ABA Bank announced that it had obtained approval from the National Bank of Cambodia to issue corporate bonds.
Chinese-owned Sihanoukville Special Economic Zone (SSEZ) has also recently announced that it is planning to issue stocks at the capital market.
In May, CSX saw the largest trade volume in its short history with nearly 10 million shares exchanged.
The total value of traded shares surpassed $30 million, the highest ever at the Cambodian stock exchange, CSX said.
Grand Twins International, Phnom Penh Autonomous Port, and Sihanoukville Autonomous Port, all listed at the Cambodia Securities Exchange, reported a strong business performance from January to March, according to CSX’s latest report.
Taiwan-owned garment factory GTI saw total revenue reach $36.7 million, an increase of 58 percent compared to the same quarter last year. The company, however, experienced a decline in net profit, which was only $172,329, a decrease of 82.8 percent.
State-owned PPAP reported a rise in total revenue of 25.8 percent, reaching $5.9 million. Net profit increased by a whopping 218.3 percent, surpassing $3.5 million.
Total revenue in Sihanoukville Autonomous Port (PAS) rose by 17.4 percent, reaching $17.4 million, while net profit soared by 190.2 percent to exceed $2 million.