SC working to facilitate company listings on Bursa Malaysia

KUALA LUMPUR: The pipeline of initial public offerings (IPO) on Bursa Malaysia remains healthy with an expected 35 to 40 IPOs expected to be undertaken this year, said Securities Commission chairman Datuk Seri Awang Adek Hussin.

Speaking at Invest Malaysia New York 2023, Awang Adek said Malaysia would further facilitate companies to list on the Malaysian market and attract more investors.

“The SC is working to speed up the IPO process and reduce time-to-market to ensure Malaysia’s competitiveness and attractiveness,” he added.

For the first six months of 2023, Awang Adek said total funds raised in the equity and corporate bond market came to RM58.9bil.

“This signals that the equity and bond market have remained a significant source of financing for the private sector.

“The market resiliency is attributed to various factors namely diversity, ample liquidity, and strong infrastructure and governance, contributing to the market’s ability to withstand external shocks and attract both domestic and international investors,” he said.

According to Awang Adek, the capital market will be enhanced to help drive greater economic growth, inclusion and sustainability, in line with the aspirations of Malaysia Madani Economy Framework and the New Industrial Master Plan.

Capital market initiatives that have been announced to boost market vibrancy and enhance investor access include the automatic promotion of eligible PLCs from the ACE Market to the Main Market of Bursa Malaysia, reduction of stamp dity and enabling fractional share trading by investors through stockbrokers and introducing the Foreign Exempt Scheme framework.

In 2022, foreign investors returned as net buyers on the Malaysian market for the first time since 2017.

Year-to-date, foreign investors have been net buyers in the bond market, recording an inflow of RM27.4bil as of August 2023.