The Hindu Business Line : Meghmani Organics listed on Singapore bourse

PLACING India on the trading map of the Singapore Exchange (SGX), Meghmani Organics Ltd on Tuesday began its business foray here as the first Indian company to do so.

Although the firm has, in the words of an SGX official, made its bow here on its ``own steam'', the event acquired considerable significance against the backdrop of the ongoing negotiations between India and Singapore for a comprehensive economic cooperation agreement (CECA).

This was underlined during a ceremonial function that marked the formal entry of Meghmani Organics into the SGX network at the stroke of the bell today.

The importance of the event as regards the Indo-Singapore diplomatic calendar was underscored by the presence of India's Deputy High Commissioner, Mr Ravi Bangar, and the First Secretary (Commerce), Mr C. Rajendiran , at the colourful function here.

Asked about the choice of SGX as a springboard, the Chairman and Managing Director of Meghmani Organics, Mr Jayanti M. Patel, later said that Singapore was already associated with the company's equity base.

At a subsequent media briefing, the Executive Vice-President and Head of the Markets Group of the Singapore Exchange Ltd, Mr Gan Seow Ann, said, ``it took a while to convince the players on the Indian corporate scene that Singapore is a good alternative to the preferred bourses in the US and the London Stock Exchange.''

SGX had gone in for ``a major push'' for the attention of Corporate India in the past three years, although the ``occasional trips'' were indeed undertaken even earlier to project the opportunities here.

Noting that the attractiveness of SGX for Indian companies had also something to do with the agenda of economic ``reforms'' in India at this time, Mr Gan said he would, nonetheless, reckon that it was still ``early'' to make any forecast about the possibilities of more such listings here.

Responding to questions, he indicated that ``market-driven'' dynamics, rather than any ``strategy'' as such, would determine whether or not Indian firms make a beeline for the SGX, where Chinese firms have had high visibility.

On its part, the SGX would follow the ``due diligence process'' in welcoming potential new entrants.

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