Yangzijiang Shipbuilding to launch dual currency trading in SGD, RMB

Singapore Exchange (SGX) - listed Yangzijiang Shipbuilding (Holdings) Ltd. announced on Thursday that it will launch dual currency trading in Renminbi (RMB) on Aug. 5, in addition to its existing Singapore dollar (SGD) counter.

It will be the first company to have its shares traded in China 's RMB in the SGX's dual currency trading platform, and it will also be the first stock listed in SGX to have its shares traded in RMB.

The Yangzijiang Shipbuilding, one of the major shipbuilders in China, made its debut in the SGX in April 2007. It is also one of the largest Chinese listed entity on SGX-Mainboard.

The company said its main area of operations is in China and the functional reporting currency is also RMB. Therefore many investors across this region expect to invest in the company's shares by using RMB. The dual currency trading platform provide the investors an opportunity to "participate in the group's shareholding without the worry of foreign exchange risk or incurring charges during currency conversion".

It will also be more flexible and convenient for investors to trade the company's shares in SGD or RMB.

Magnus Bocker, Chief Executive Officer (CEO) of the bourse, described it as "an exciting and positive development for Singapore as an offshore RMB centre", adding that it also " demonstrates how SGX is contributing to the infrastructure and capabilities required for issuers and investors to tap on opportunities offered by China."