By Hrian H.Senewiratne
A joint committee between the SEC and the CSE has been set up under the purview of the SEC to fast-track some of the new products to the market and the CSE is also looking to strengthen resources in that area, CSE CEO Rajeeva Bandaranaike said.
“Over the last two years, the number of active investors has tripled and we are continuing to work to broaden the market’s base; we have plans to open more regional branches during the year, Bandaranaike told a media conference last week at the Shangri La Hotel.
Bandaranaike added: “On the capital- raising side, we have expanded the listing criteria and the listing rules to enable separate boards for small and medium companies. As for local companies raising foreign currency-denominated capital for their overseas expansions, we are working with investment banks to encourage those companies to make use of these opportunities.
“Certain regulatory approvals have already been obtained and we are continuing to work on the regulatory front to close any other gaps that exist in potential dollar-denominated capital-raising.
“To accommodate state-owned enterprises in listing, we are amending and changing our rules to facilitate such listing.
“We are also looking at strengthening the governance structure of the CSE through a process of Demutualization of the stock exchange, converting it from a guarantee company to a company limited by shares.
“The primary objective of this is to separate ownership from management. We are working with the 15 member firms to assist the regulator in demutualizing the exchange and we are hopeful that this will be completed during 2023.”
Meanwhile, developments on the share market indicated that, Finco Holdings Ltd. has increased its stake in Renuka Hotels PLC to 10 per cent as of last week.
In a disclosure to the CSE, Finco Director Priyanjith Weerasooriya said that it holds 4.045 million shares or 10.04 percent stake in Renuka Hotels.
As at September 30, 2022, Finco held a 6.13 per cent stake in Renuka Hotel. The controlling stake in the latter is held by leisure sector veteran and senior business leader Ravi Thambiayah and his family. Renuka Hotels owns a 69 per cent stake in Renuka City Hotels as well.
Carson Cumberbatch Group and Acuity Partners sold a 100% stake in Guardian Acuity Asset Management Ltd. (GAAM) for Rs. 101.5 million to CT CLSA Holdings Ltd.
The sale price was based on the Net Asset Value and the assets under management of GAAM as of January 13, 2023.
In business for over the past 10 years, GAAM specialized in a wide range of investment and wealth management services, while offering three Unit Trust Funds (Guardian Acuity Money Market Fund; Guardian Acuity Equity Fund and Guardian Acuity Income Fund) licensed by the Securities and Exchange Commission of Sri Lanka. The company also provides discretionary portfolio management services for high-net worth individuals and institutions.
Carson Group subsidiary Ceylon Guardian Investment Trust PLC and Acuity Partners held a 50 per cent stake each in GAAM. Acuity is an integrated investment banking entity jointly floated by DFCC and HNB.
Yesterday, the Central Bank- announced US dollar buying rate was Rs 360.39 and the selling rate Rs 371.46.
