New IPOs will drive Bursa Malaysia's trading velocity higher than 27 pct

The potential initial public offerings (IPOs) this year will likely drive Bursa Malaysia's trading velocity higher than the 27 per cent achieved last year.

Bursa Malaysia Bhd Chief Executive Officer Datuk Seri Tajuddin Atan said Eco World International Bhd's listing on April 3, 2017 would be one of the major highlights of this year, given its large market capitalisation.

"Furthermore, we hear that the Securities Commission of Malaysia has approved the listing of two more IPOs, on the main market and ACE market, respectively.

"These listings will be enough to get the market excited," he told reporters after Bursa Malaysia's annual general meeting here today.

So far this year, HLT Global Bhd, Matang Bhd, KIP Real Estate Investment Trust and Serba Dinamik Holdings Bhd were listed.

Collectively, these four listings have a market capitalisation of about RM2.84 billion, which is almost equal to that of Eco World International.

Tajuddin said currently, the trading momentum in the local stock market was very good, with about RM4.7 billion in foreign fund inflow, to-date.

He said from March 13-17, 2017, there was a fantastic foreign fund inflow of around RM1.7 billion in that week alone.

On top of attractive IPOs and the ringgit's strength, he said investors were entering the market for the strong dividend yield play within the Bursa marketplace.

-- BERNAMA