Colombo / Hong Kong – Monday, 12 May 2014: CLSA and CT Smith Holdings Ltd are pleased to announce the closing of a 25% equity investment by CLSA Singapore Holdings Pte Ltd in CT Smith Holdings Ltd, a member of CT Holdings PLC, a conglomerate listed on the Colombo Stock Exchange.
The investment cements a long-standing, twenty-year partnership between the two groups and marks the beginning of a new chapter in the development of CT Smith Holdings as a client centric brokerage, investment banking and asset management group with a strong reputation for integrity and independence in Sri Lanka’s capital market.
Jonathan Slone, Chairman and CEO, CLSA said: “Having worked with CT Smith over many years, we are extremely confident this investment will provide our clients enhanced access to a dynamic, growing frontier market while expanding CLSA’s Asia market research and distribution footprint.”
Cecilia Muttukumaru, Chairperson, C T Smith Stockbrokers, CT Capital and Comtrust Asset Management commented: “CT Smith Holdings and CLSA have developed a strong relationship over the years through CLSA being a counterparty of CT Smith Stockbrokers. I am pleased with their decision to further strengthen our relationship. Both groups are renowned for the quality and independence of their products and the partnership will assist CT Smith Holdings to expand its already strong relationship with foreign institutional investors and deliver an enhanced service offering to its domestic clientele.”
CLSA and CT Smith Holdings will benefit from combined product and service offerings particularly in relation to equity research, execution and capital markets advisory in Sri Lanka. Both groups have agreed in principal to combine research and Equity Capital Markets capabilities as follows:
Economic & Equity Research: CLSA will distribute research products published by CT Smith Stockbrokers, which provide an independent, on-the-ground perspective into the Sri Lankan market. The research products of CT Smith Stockbrokers will be re-branded under “CT CLSA” once approvals are granted. In addition, CT Smith Stockbrokers will participate in CLSA’s Investor Forums which have set the benchmark for equity investor conferences globally.
Equity Capital Markets: CLSA Capital Markets Ltd and CT Capital will join forces to capitalize on their combined strengths in client relationships, execution and global / local market insights and placement capability.
As a result of the investment by CLSA, C T Smith Holdings Ltd will change its corporate identity to CT CLSA Holdings Ltd. C T Smith Stockbrokers (Pvt) Ltd and C T Capital (Pvt) Ltd will change their corporate identities to CT CLSA Securities (Pvt) Ltd and CT CLSA Capital (Pvt) Limited respectively. Comtrust Asset Management (Pvt) Limited will retain its current identity as a flagship unit trust management company in Sri Lanka.