20 Thai stocks added to MSCI Global Small Cap Indices effective from June 1
BANGKOK, May 20, 2013 – The Stock Exchange of Thailand (SET) revealed that MSCI Inc., index provider, would add 20 Thai stocks as components of its MSCI Global Small Cap Indices, consisting of ANAN, BMCL, EA, EASTW, GRAMMY, GUNKUL, JMART, KTC, MALEE, N-PARK, OFM, OISHI, SAMTEL, SPCG, TFD, THRE, UMI, UV, VGI and WHA, effective from June 1. The Thai bourse has more stocks being added to MSCI Global Small Cap Indices than any other ASEAN exchange in this round.
Chanitr Charnchainarong, SET executive vice president and Market for Alternative Investment (mai) president, said: “Nineteen SET stocks and one from mai are being added to the MSCI Global Small Cap Indices, with a combined market capitalization of THB 403 billion (approx. USD 13.89 billion; as of May 15, 2013). Meanwhile, three Thai stocks were removed from this set of indices, as they had grown too big for these indices.”
“Seven of the newly added stocks have been listed on the Thai bourse through IPO in the last three years, showing the potential of Thai stocks to be qualified for global stock indices. We expect more interesting IPO stocks to be continuously listed on the Thai bourse and potentially be added to MSCI Global Small Cap Indices, making the Thai bourse more attractive for investors.”
The seven listed stocks in the last three years were ANAN, EA, GUNKUL, OFM, SPCG (as a backdoor listing), VGI and WHA, with 44 percent of the total market capitalization of the 20 stocks added to MSCI Global Small Cap Indices in this round.
“Most stocks which were removed from the Indices reached a market capitalization exceeding that used in selecting MSCI Global Small Cap Indices. If their market capitalization and liquidity keep growing, they might be added to the MSCI Global Standard Indices like HMPRO, MINT and TRUE,” Chanitr added.
Stocks added to global stock indices normally have higher market capitalizations and higher trading volumes than those not included in the indices, in alignment with company performance and increased investor interest.