The Hong Kong Stock Exchange (HKEX) has added the Stock Exchange of Thailand (SET) to its Recognised Stock Exchange (RSE) list, according to a March 10 HKEX announcement.
The move by the HKEX will enable public limited companies with a primary listing on SET’s main market to apply for a secondary listing in Hong Kong. The addition increases the number of RSEs in Southeast Asia, which currently includes the Indonesian Stock Exchange and the Singapore Exchange.
Hong Kong's government has been looking to expand into Asean's fast-growing economies over the last 18 months through a series of bilateral meetings both in Hong Kong and in Asean, including by Hong Kong's chief executive John Lee. The agreement will also allow greater capital flows between Thailand and the Special Administrative Region (SAR), and enhance economic integration. Hong Kong is already the sixth largest trade partner with Asean with trade reaching $111 billion in 2019.
HKEX head of listing, Katherine Ng, said in a statement: “We are pleased to be adding SET to our list of RSEs, offering our investors the potential for more opportunities to invest in quality companies in the Asean region.”
Ng added: “SET is home to companies from many dynamic sectors, including energy, healthcare, and technology, and this addition will facilitate potential cross-listings, giving Thai companies access to a broader regional and global investor base, while enriching HKEX’s market offering and providing investors with a wider selection of investment opportunities."
Other RSEs in Asia Pacific are the Australian Securities Exchange (ASX) and the Tokyo Stock Exchange. In the Middle East, RSEs with HKEX are the Abu Dhabi Securities Exchange, the Dubai Financial Markets and the Saudi Exchange.
Altogether, HKEX has 20 RSEs across 18 countries globally.
