Financial Regulatory Commission approves transaction on Mongolia’s first private exchange
The Financial Regulatory Commission (FRC) approved the proposed public listing of And Energy LLC to list 34 percent of its shares on the Mongolian Securities Exchange, the first private exchange in Mongolia.
With the decision, FRC has allowed the first private exchange in Mongolia, the Mongolian Securities Exchange, to conduct its first public stock transaction. And Energy LLC will offer 34 percent or 26.5 million shares priced at 60 MNT each.
And Energy is a company focused on electrical appliances such as LEDs, having established a LED factory named Erdenet LED. The reason for the listing is to raise money to improve the capacity of their LED factory.
In 2015, FRC provided the Mongolian Securities Exchange a license to operate under the goal of improving the competitiveness of the stock market and to established an exchange supporting small-tomedium enterprises. The private exchange currently has 11 members.
Bumbat-Altai Broker-Dealer has been assigned as underwriter for the listing. If 80 percent of the shares are sold on the primary market, it will be deemed as satisfactory to And Energy LLC.