CSE DEMUTUALISATION AWAITS GOVT. POLICY ON SHARE SPLIT

▸ SEC HINTS AT STRATEGIC INVESTOR ROLE AS 30 IPOS LINE UP ► PLANS ROAD SHOWS IN MIDDLE-EAST, EUROPE AND JAPAN NEXT YEAR

- By NISHEL FERNANDO

Professor Hareendra Dissabandara

The demutualisation of the Colombo Stock Exchange (CSE) is awaiting a final policy decision from the new government regarding its share allocation, according to Securities and Exchange Commission (SEC) Chairman Senior Professor Hareendra Dissabandara.

Prof. Dissabandara revealed that beyond the original ownership structure, a role for a “strategic investor” is now being considered. This move comes as the SEC prepares to capitalise on a surge in foreign investor interest and a robust pipeline of “around 30” new Initial Public Offerings (IPOs) heading to the market.

“Demutualisation of the CSE” is the first of twelve key projects in the SEC’s plan to transform Sri Lanka’s capital market landscape. The project’s objective is to convert the CSE from an entity owned by its members into a “shareholder-owned corporate entity” to improve governance, efficiency, and access to capital.