Mr Sithong Phommachit.
Mr Vanhkham Voravong (left) shakes hands with Mr Sithong Phommachit after signing to sell the company’s shares on the LSX in Vientiane.
Mr Bounmy Manivong (fourth from left), Ms Saysamone Chanthachack (third from left) Mr Somphob Sakpunpanom (fourth from right), Mr Vanhkham Voravong (fifth from right), Mr Sithong Phommachit and honoured guests join hands to celebrate the first trading day ceremony in Vientiane.
Mr Vanhkham Voravong (right) presents a stock market logo to Mr Sithong Phommachit after the company listed to trade its shares on the LSX.
Mr Sithong Phommachit (centre) poses for a photo with the PCD administration at the first trading day ceremony in Vientiane.
Times Reporters/ Khamphone
PCD opens share trading on Lao stock exchange
The Phousy Construction and Development Public Company (PCD) is the first company to have registered on the Lao Securities Exchange (LSX) this year and the sixth company to trade shares on the Lao stock market.
The company’s first trading day took place at the LSX in Vientiane yesterday with a closing price of 1,350 kip a share, up from PCD’s Initial Public Offering (IPO) of 1,200 kip. The stock market share price rose by 150 kip or 12.5 percent with 223,900 shares traded worth 364 million kip.
PCD also has sales agents which are the Lao Development Bank, BCEL-KT Securities Company Limited, and the Lao-China Securities Company Limited.
The ceremony was attended by Deputy Minister of Industry and Commerce, Mr Bounmy Manivong; General Secretary of the Lao Securities Commission (LSC), Ms Saysamone Chanthachack; Lao Securities Exchange CEO, Mr Vanhkham Voravong; CEO of APM (LAO) Securities Co., Ltd. (APMLAO), Mr Somphob Sakpunpanom; and representatives from relevant sectors, partners and domestic and foreign business operators.
The company is selling shares to raise capital for use in three main areas: investment in construction machinery and equipment, investment in research and development, and for use as working capital for construction, PCD Chairman Mr Sithong Phommachit told local media.
PCD is one of the leaders in Laos operating a full range of construction services (design and EPC).
PCD specialises in infrastructure construction such as roads and bridges, landslide blocks and other facilities.
“The listing of PCD on the stock exchange is a good opportunity for the business and PCD will have the potential to grow greatly because PCD has a strong business plan with over 20 years of experienced employees,” said Mr Sithong.
Many of PCD’s projects are under construction and various large-scale projects are planned for the near future after the company has signed agreements with the Lao government.
Among the company’s major projects are the construction of an expressway from Vientiane to Pakxe district, Champassak province, and the construction of concession projects at the Special Economic Zone in Luang Prabang, and other operations.
ALthough the company has only just listed on the LSX, Mr Sithong believes that learning from the former five listed companies and suggestions from the LSC, APMLAO, LSX and Lane Xang Securities Public Company as well as other partners will increase the value of the share price above 1,300 kip.
After the first trading day yesterday, many people were interested, of whom at least 10-20 percent were Lao and the rest were foreigners mainly from Thailand, Korea and China, he said.
After the company submitted its filing to the LSC on November 16, 2016, PCD issued an IPO for 100 million shares with a par value of 1,000 kip and the LSC approved the filing, according to the APMLAO.