BSP set to start trading on ASX

AN application by the Bank South Pacific Financial Group Ltd to join the Australian Securities Exchange (ASX) has been approved.
Group chief executive officer Robin Fleming said the bank would be listed on the ASX this week and shareholders could move partials of their shares onto the ASX.
“We were listed on the PNGX (PNG Stock Exchange) in 2003 but because of the size of BSP, that market capitalisation was close to K5.6 billion,” he said.
“And because of the size of BSP, it was difficult for shareholders to have larger partials of shares and actively trade their shareholdings.
“Being listed on the Australian Stock Exchange, shareholders can move their shares either in full or in parts to the ASX and, therefore, trade their shares far more easily on a very liquid stock exchange market.
“PNG resident shareholders still have to go through a process in making sure their compliant with Internal Revenue Commission (IRC) and Bank of PNG guidelines in respect to exchange control as to how they deal with any share sales.
“But once they move to the Australian stock exchange, they then have the capability to trade their shares far more readily and in a far more accessible format than is the case for PNG.
“While we have a good shareholding base in PNG because of BSP’s success, the composition of BSPs investment and the portfolio of some of the superannuation funds which is very high, we’ve been successful.
“Our portfolio continues to increase and even if they want to trade more actively, it is constrained by the absence of liquidity in PNG.”
Group chairman Sir Kostas Constantinou said it was a milestone for the bank giving it the opportunity to raise capital and expand further.
“It gives us liquidity, it gives our shareholders liquidity so that they can buy and sell shares and trade on the Australian Stock Exchange,” he said.