More than two months after the firm announced it would list on the Cambodian Securities Exchange, Bonna Realty has selected Tong Yang Securities to underwrite its initial public offering (IPO), an official said yesterday.
Sung Bonna, the CEO of the Phnom Penh-based realty firm, said that the two sides would finalize an agreement before the end of the week as the firm looks to list on the stock exchange in one to two years time. ..
Tong Yang has thus far prepared the IPO for the bourse’s lone listing, the Phnom Penh Water Supply Authority and is also currently in the final stages of preparing the IPO for another state-owned enterprise, Telecom Cambodia, which is set to launch in early 2013.
By Philip Heijmans, P. 21
The share price of the Phnom Penh Water Supply Authority (PPWSA) fell 50 riel yesterday to 6,250 riel, or about $1.52, bringing the authority’s share price lower than its initial public offering (IPO) in April.
The decline matches views expressed by investors here that the authority’s IPO was overvalued and that the stock price would likely carry on falling before bottoming out.
Four days after the launch of the IPO, the share price grew more than 50 percent to reach an all-time high of 10,300 riel, or about $2.57, as speculative buyers sought to turn a quick profit. But the price has gradually fallen on most days since. Still, investors in the authority say that profits—which reached $8 million last year—are consistent and are likely to continue due to the growing demand for drinking water in the capital. …
Philip Heijmans, P. 21
The share price of the Phnom Penh Water Supply Authority (PPWSA), the only stock so far to trade on Cambodia’s recently launched bourse, fell yesterday to the lowest price since its first day of trading nearly three months ago.
At the day’s close, stock in PPWSA had fallen 0.78 percent to 6,300 riel ($1.57), the same price that was set for the firm’s initial public offering on April 18.
Investors said that the company’s share price had risen so quickly in the opening days of trading because of speculative buyers looking to make a quick profit.
They also said that the initial public offering (IPO) for the stock was probably overvalued and that the price could continue its downward trend. …
Philip Heijmans, P. 25
From June 22 to 28, the price of Phnom Penh Water Supply Authority (PPWSA) stock slowly approached its Initial Public Offering (IPO) price while trading volumes stayed within the range of 10,000 to 22,000 shares.
The price dropped from KHR 6,6so (US$1.63) to KHR 6,3so (US$LS6) from June 22 to 28. It remained at KHR 6,650 on June 22, then decreased KHR 50 (US$0.01) to KHR 6,600 (US$1.62) on June 25 due to a lack of trading on June 23 and 24. …
Sann Sethvitou, P. 37
When it became the first—and still the only—company to list on Cambodia’s stock market on April 18, the Phnom Penh Water Supply Authority saw its share price shoot up some 50 percent on its first day of trading before beginning two weeks of steady decline.
Since then, the state firm’s share price has been edging upward and closed at 7,350 riel ($1.84) on Friday, still above its 6,300 riel ($1.58) opening price during its initial public offering (IPO) in April. But the precipitous fall looks to have spooked some private firms mulling their own IPOs. And despite the initial euphoria, it could still be a year or even more before private businesses decide to list, investors say.
“We are preparing the documents for listing,” said Tan Monivann, vice president of Mong Reththy Group, a private conglomerate named after chairman and CPP Senator Mong Reththy, adding that the firm was thinking of listing its rubber and pig farming operations first. “But we feel hesitant as there is too much fluctuation in the share price on the market,” Mr. Monivann said. …
Hul Reaksmey and Zsombor Peter, P. 25