Goldman Sachs gets Malaysian licences

From: Tanki <5191...@gmail.com>
Date: Tue, 8 Dec 2009 23:22:24 -0800 (PST)
Local: Wed, Dec 9 2009 3:22 pm
Subject: Goldman Sachs gets Malaysian licences

Goldman gets Malaysian fund mgt and advisory licences

* The award of licences comes after PM's reform measures (Updates with
analyst comments, details from SC statement)

KUALA LUMPUR, Dec 8 (Reuters) - Malaysia has given U.S. investment
bank Goldman Sachs (GS.N) licences to set up fund management and
advisory operations in the country, as the Southeast Asia nation
competes for foreign investments.

The licences were given as part of the liberalisation measures
announced by Prime Minister Najib Razak earlier this year, the
country's securities regulator, Securities Commission Malaysia SC,
said in a statement on Tuesday.

Goldman Sachs' entry "demonstrates the group's confidence in the
growth opportunities available in the Malaysian capital market," said
the SC.

Other global financial companies such as JPMorgan (JPM.N) and Credit
Suisse (CSGN.VX) already operate in Malaysia.

The growing presence of global players such as Goldman Sachs "will
boost the long-term viability of the market and draw in fresh funds,"
Kaladher Govindan, head of research at Kuala Lumpur-based TA
Securities, told Reuters by telephone.

The outlook for the Malaysian capital markets and its fund management
industry was "very positive," said Tim Leissner, co-President of
Southeast Asia for Goldman Sachs.

"We look forward to playing a larger role in their development,"
Leissner said in the SC statement.

Malaysia in June unveiled a raft of measures to boost investment in
the slumping economy and lift a laggard stock market, including
waiving the condition that local companies should reserve 30 percent
of any post-IPO share sale to Malay investors. [ID:nKLR467124]

Corporate activity in Malaysia is expected to rise next year and
bolster the stock market, analysts say.

Malaysia this year saw Southeast Asia's biggest ever IPO after the
$3.3 billion offering by Maxis Bhd (MXSC.KL), the country's biggest
mobile provider.

Malaysia is the worst-performing market in Asia so far this year, up
just 44 percent, compared to Indonesia's .JKSE more than 80 percent
gain and Thailand's .SETI 56 percent rise. ($1=3.395 Malaysian
Ringgit)