|
Lanexang Securities Public Company officially opens
Lanexang Securities Public Company has been officially launched after beginning commercial operations three months ago.
 |
| Mr. Somsavat Lengsavad (fifth left ) poses with management of Lanexang Securities Public Company at the grand opening ceremony. |
The opening ceremony of the joint venture between the Vietnamese Sacombank Securities Joint Stock Company and the Lao Development Bank was held on Friday at Don Chan Palace in Vientiane.
Standing Deputy Prime Minister and Chairman of the Lao Securities Exchange Commission Mr. Somsavat Lengsavad joined representatives of Lao and Vietnamese shareholders to cut a ribbon to mark the grand opening of the securities firm which has an initial chartered capital of 100 billion kip (US$12 million).
Speaking at the grand opening ceremony, Lanexang Securities Public Company Executive Chairman Mr. Vilaymith Ackhavong noted that the company was established in November last year in accordance with an agreement with the Bank of the Lao PDR.
The Vietnamese Sacombank Securities Joint Stock Company holds 50.5 percent of the joint venture while the Lao Development Bank holds 48.5 percent and staff of the companies 1 percent, he said.
The company is located on the fifth floor of the Lao Securities Exchange (LSX) in Phonthanneua village, Saysettha district, Vientiane, and provides services in the four areas of financial consultancy, underwriting, brokerage and stock exchange.
Mr. Vilaymith said that the securities company has provided consultation services to the state owned Banque pour le Commerce Exterieur Lao (BCEL) during its transition to part-public ownership, when it sold 30 percent of its shares to local and private investors, he said.
Mr. Vilaymith said the company has signed a memorandum of understanding with others in Laos to help them improve their businesses so they can become public companies and list on the LSX.
Privatisation of a company is an effective way to mobilise investment funds to expand businesses as they do not need to borrow money from banks.
The LSX was formed in October and began stock transaction services in January in support of government policy to help state and private enterprises mobilise funds to increase jobs and incomes of Lao people.
Sacombank Securities Company is a wholly-owned subsidiary of the Sacombank Group. It was established in September 2006 with an initial chartered capital of US$16.67 million. The company undertakes brokerage, stock depositary, underwriting services and investment services.
Lao Development Bank was established on April 9, 2003, by consolidating two previously state-owned commercial banks, Lao May and Lane Xang, and is owned by the Ministry of Finance.
Another securities firm operating in Laos is BCEL-KT, a joint venture between BCEL, which holds 70 percent, and KT Zmico of Thailand, which holds 30 percent. This company held its grand opening last month.
vientiane times
|
