Every deal counts in Cambodia. The country’s stock market is still at an embryonic stage, with just five IPOs so far. There has never been a year with more than one listing since the stock market opened in 2012. Securities houses in the country have everything to gain from impressive work — and everything to lose.
There was only one domestic IPO in Cambodia during our awards period, and SBI Royal Securities managed to bag itself every job available. It was the sole lead manager, bookrunner and underwriter on the $26.7m listing for the Sihanoukville Autonomous Port, the largest ever closed in Cambodia.
The firm also showed its pedigree in the previous year, winning a slot on the only Cambodian IPO of 2016 alongside Campu Securities: the $8.1 million deal for the operator of the Phnom Penh Special Economic Zone in May 2016. These deals may not turn heads for bankers operating in some of the other big equity markets considered in these awards, but their importance to developing the Cambodian market should not be overlooked.
In trading volumes, SBI cannot boast the biggest volumes on the domestic stock exchange, but its staying power among the top tier is second to none.
Campu Securities, a close competitor for this award, traded at least Riel6.9 billion ($2.3 million) on the exchange between July 2016 and June 2017, more than three times the amount executed by SBI Royal Securities.
But SBI was among the top five brokers by volumes in nine of the 12 months during our awards period. Campu Securities, despite its bigger volumes, could only manage a top five slot in seven of those months.
SBI Royal Securities is a subsidiary of Japan’s SBI Holdings, formerly Softbank Investment Corp. The firm entered Cambodia in February 2010, and the following year snapped up the securities unit of Royal Group, a local conglomerate. There is little doubt it has made an impressive start.