In order to protect shareholders from further losing value, First Private Bank (FPB) is considering delisting from the Yangon Stock Exchange (YSX)

First Private Bank (FPB) is considering delisting from the Yangon Stock Exchange (YSX) sitting sliding share prices.

The board of directors of FPB met and announced the option of delisting from the nascent capi­tal market on September 10, U Myint Zaw, CEO of FPB, said.

On January 20, FPB be­came YSX’s fourth listed company and began trad­ing at K39,000 per share. Since, prices have trick­led down to their current valuation of K24,000 per share.

According to 27th an­nual board of directors meeting, the companies feels this move is urgent in order to protect the shareholders from losing further value.

However, the company is in the process of col­lecting input from larger shareholders and indus­try experts before making any final decisions, U My­int Zaw said.

Delisting from the fledg­ing market would be det­rimental to the reputation of the YSX. The exchange has failed to attract new companies since FPB listed 8 months ago and a back-step now, as the economy slows and in­vestor confidence shakes, could be ruinous.

“It is not good to hear that a company plans to delist from YSX. The im­pact will go beyond the YSX and other listed com­panies to affect the econo­my as a whole. But we are still in the consideration stage and not a final deci­sion yet,” U Thet Tun Oo, a Senior Executive Man­ager of YSX, said

According to YSX sta­tistics FPB stocks trade volume amounted to K22 million in the first week of September while August saw an even-keeled K110 million traded.

The four listed compa­nies on the YSX are First Myanmar Investment, Myanmar Thilawa SEZ Holdings Public Limited, Myanmar Citizen Bank, and First Private Bank.

The only two ways for a company to exit the YSX are to be removed by the Myanmar Securities Ex­change Supervisory Com­mittee or voluntarily del­ist.

(Myanmar Business Today: https://www.mmbiztoday.com/articles/fpb-considers-ysx-exit )

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