Singapore Exchange Ltd. said it plans to quote American depositary receipts of Indian, Taiwanese and South Korean companies next year, expanding beyond the 19 Chinese firms that began trading last week.
Singapore Exchange, which has offered to buy Australia’s ASX Ltd., will likely add more ADRs from companies across Asia by the first half of 2011, Rick Aston, head of product sales for the exchange, said in an interview in Hong Kong yesterday. He declined to comment on the company’s proposed takeover of the operator of Australia’s dominant stock exchange.
“We’re definitely basing this on investor demand,” Aston said. “We want to make sure we build up the liquidity in the current 19 names before we add to the selection.”
Singapore Exchange, which oversees the largest stock market in Southeast Asia, is trying to develop a pan-Asian presence to compete with bourses in Hong Kong and Tokyo. The company started quoting ADRs of 19 Chinese companies on Oct. 22 and bid about A$8 billion ($7.8 billion) for Sydney-based ASX on Oct. 25.
Shares of the Singaporean bourse rose 0.1 percent to S$8.89 as of 9:30 a.m. local time. The stock lost 6.8 percent since Oct. 22, poised for the biggest weekly decline since May. Three Australian lawmakers said yesterday they opposed the ASX sale, meaning Singaporean Exchange needs the support of the minority Labor government and at least four other legislators in the lower house of parliament to approve the deal.
The ADR partnership is the third between the operator of the Singapore bourse and Nasdaq OMX Group Inc., the former employer of Chief Executive Officer Magnus Bocker. The bourse will focus on adding ADRs of large companies, Aston said.
Subscribe to:
Post Comments (Atom)
Posts
No comments:
Post a Comment