The government of Cambodia has announced the start of preparations for three state-owned companies, including incumbent fixed line operator Telecom Cambodia, to list on the forthcoming Cambodian Stock Exchange, writes local daily the Phnom Penh Post. In a meeting on the initial public offerings (IPOs) with the Ministry of Economy and Finance, Minister of Finance Keat Chhon said the companies would act as an example to the rest of the private sector during the bourse’s initial stage. ‘The listing is a method to mobilise financial resources for these enterprises,’ he said, adding that the trio have been selected to list as they have been the subject of takeover enquiries by foreign firms. Han Kyung Tae, chief representative of Tong Yang Securities of South Korea, which is serving as financial adviser to the ministry regarding the exchange, said it was still too early to tell whether the companies selected were up to the required standard – this would normally be determined over about the next six months of preparations.
Originally planned to launch on 9 September 2009, Ministry of Finance officials hope to open the exchange by the end of the year, but have acknowledged that the launch would depend on the readiness of the three state-owned enterprises earmarked to be the first to join.