The Nation has learned that KTZ Ruby Hill Securities, the joint venture with locally-owned Ruby Hill Finance, is one of the 10 companies. More than 100 Thai and foreign brokerage firms along with local finance companies applied for the licenses.
In October, KT Zmico was the only securities company from Thailand to win a brokering license in Myanmar. The licenses are being issued ahead of the launch of the Yangon Stock Exchange in December.
Maung Maung Thein, deputy minister for finance, announced on October 31 that ten domestic banks and joint-venture companies had been short-listed for the underwriting licenses, according to a report by Eleven Myanmar.
“The shortlists cover only banks and joint-venture companies, not wholly-owned foreign companies,” Maung Maung Thein said.
The deputy minister met representatives from the 10 short-listed companies at the Exchange Certificate Supervisory Commission Office in Yangon on October 24. The securities companies were required to deposit Ks15 billion (Bt419 million) at the Myanmar Economic Bank, Maung Maung Thein said.
The licenses would be granted after a complete inspection of their personnel, offices and the telecom systems.
At the meeting, he warned that the companies may not reap profits in the first five years. He also said the aspiration was to ensure the creation of the derivatives market and futures market soon after the launch of the stock market. Meanwhile, the bond market would also be expanded. On winning the brokering license in October, KT Zmico said it had the potential to win the underwriting license.
Source: The Nations