Logo of Phnom Penh Post newspaper Phnom Penh Post - Cambodian, Thai firms form business alliance

Cambodian, Thai firms form business alliance

Cambodian, Thai firms form business alliance

SBI Royal Securities, a subsidiary of Japanese-based SBI Holdings, has concluded a basic agreement to form a business and capital alliance with one of Thailand’s leading securities firms, in a move that could attract more investment from Cambodia’s northern neighbour.

The agreement with Thailand’s Finansia Syrus Securities will help underwriter SBI Royal to acquire “investment banking business know-how and expertise” from a company that boasts a “top record in IPO underwriting,” according to a statement yesterday. “Meanwhile, Finansia Syrus Securities is planning to expand business in Cambodia in order to tap into the country’s rapid economic growth, relative to other Asian countries, as well as the expected increase in IPO transactions.”

Sok Dara, deputy director general of the Securities and Exchange Commission of Cambodia, welcomed the deal and said it will contribute to strengthening the country’s nascent securities market.

So far, only one entity, the Phnom Penh Water Supply Authority, has listed on the Cambodia Stock Exchange.

“Whenever there is a merger or cooperation, even in terms of capital or technical capacity, our stance as the regulator is to support them because the market will be more open to customers. Another thing, the new partner will help to enhance or exchange their techniques to improve the local firms here,” he said.

“In addition, we welcome Finansia Syrus Securities in our market because since we opened we don’t have any Thai securities firms apply for an operating licence. So their presence will definitely attract more Thai investors as well as their businessmen to consider investing in the market.”

He said the SECC will have to sign off on the deal before approving it.

Finansia Syrus Securities operates 40 branches throughout Thailand. SBI Phnom Penh Securities (SBIPP), which was established in February 2010, became the first Japanese financial institution to operate a securities business in Cambodia. In December 2011, SBIPP merged with the Royal Group’s securities unit to form SBI Royal Securities Plc.

MOST VIEWED

  • Hun Sen to ‘step down’ if he loses Sam Rainsy bet over Kem Sokha

    Hun Sen has promised to step down as prime minister while opposition figure Sam Rainsy pledges to turn himself in as forfeits if the long-term political rivals lose a “bet” over the future of former opposition leader Kem Sokha, who is on bail awaiting trial

  • Record set for world’s longest dragon boat

    Cambodia broke the world record for the longest dragon boat – a title previously held by China, Guinness World Records adjudicator Pravin Patel said on Monday. He verified the record on the east bank of the Mekong river, in Prey Veng province’s Peamro district. “With

  • Analyst: Government appointments ‘a waste of national budget’

    The government has appointed over 200 officials as undersecretaries of state, secretaries of state, assistants and advisers at various institutions since October 1. While senior officials said the appointments were aimed at ensuring higher efficiency at the national level, social analysts said the practice is merely power-sharing

  • Rainsy ‘fallen in own trap’, PM says as Sokha ‘bet’ defended

    Prime Minister Hun Sen has defended his decision to accept a “bet” offered by opposition figure Sam Rainsy involving the “release” of former Cambodia National Rescue Party (CNRP) president Kem Sokha, denying it violated the authority of the courts. The leader of the Cambodia National