|Topic:||Re-imagining Debt Capital Market to Unlock Opportunities & Sustain Growth in Sri Lanka|
|Date/Time:||Thursday 4th June 2015 | 1800 – 2100 Hrs|
|Keynote Speakers:||Ajith Fernando | Managing Director, CEO | Capital Alliance
Kartik N | Director Debt Capital Markets, Asia Pacific | HSBC
|Moderator:||Maninda Wickramasinghe | Country Head Managing Director / CEO | Fitch Ratings Lanka|
|Panelists:||Vajira Wijegunawardene | Director General | Securities and Exchange Commission
Mano Tittawella | Executive Chairman and Managing Director | EAP Group
Chamira Wijetilleke | Head of Corporate Banking | HSBC
|Venue:||Grand Ballroom 1, Colombo Hilton|
|Host:||Lakshaman Bandaranayake | Founder, Publisher | Lanka Business Online [LBR LBO]|
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UNLOCKING POTENTIAL OF DCM TO SUSTAIN LONG-TERM GROWTH
Availability of long-term debt funding is essential for smooth execution of long-term corporate strategy of a firm. Insufficient funding levels could curtail a firm’s growth ambitions and in the most extreme case prove to be a significant threat for the continuity of the firm. Thus having a stable, accessible and well function debt capital market (DCM) has been proven to be a key driver of corporate growth.
SLOW GROWTH IN DEBT CAPITAL MARKET IN SRI LANKA
Traditionally the commercial banks have been the primary source of debt capital in Sri Lanka. Issuing of corporate bonds to general public through prospectus began only in 1996.
Sri Lankan DCM has historically been thin and dominated by government bonds. The growth of private sector DCM has been slow than equity market. The domestic debt market in Sri Lanka is still at a nascent stage. It has been estimated that retained profits finance about 70 percent of private investment in Sri Lanka, with short-term borrowing financing a further 20 percent. Thus long-term debts fund only around 10% of private investments.
In many parts of the world, particularly in the developed markets, corporate bonds have been a stable source of corporate funding and for economic growth.
Empirical research has shown that in Sri Lanka mean long-term debt to equity ration is in the region of 25%, much lower than developed market. Similarly the total debt to equity ratio too is much lower. Of the total asset base of Sri Lankan corporates, less than 60% is financed by debt and less than 10% is financed by long-term debts, much lower than developed markets.
Keynote Speaker - Ajith Fernando | Managing Director, CEO | Capital Alliance
Mr. Fernando is a Fellow Member of the Chartered Institute of Management Accountants, United Kingdom and holds a MA in Financial Economics from the University of Colombo. He counts over 20 years experience in capital markets of Sri Lanka. In 2000 he founded CAL in partnership with Asia Capital Ltd.
Currently he is the group CEO of the CAL Group which includes CAL Ltd, a Primary Dealer for Government Securities, appointed by the Central Bank of Sri Lanka and CAL Securities (Pvt) Ltd, a trading member of the Colombo Stock Exchange. In addition he also serves on the board of Senkadagala Finance Company Limited in addition to many private companies. He is Deputy Chairman of the Financial Ombudsman’s office and a Director of the Lanka Financial Services Bureau.
Keynote Speaker - Kartik N | Director Debt Capital Markets, Asia Pacific | HSBC
Kartik has 15 years of experience in Structured Finance & Debt Capital Markets spanning across various products and countries. Has strong relevant experience in successfully advising South Asian Borrowers from India, Sri Lanka and Bangladesh across foreign currency bonds and loans including Sri Lanka sovereign, BOC, NSB, SBI, Reliance Industries, IOCL, Oil India, ICICI Bank, etc.
Kartik has been involved in Sri Lanka Sovereign USD bond issues since 2010.
Moderator - Maninda Wickramasinghe | Country Head, Managing Director / CEO | Fitch Ratings Lanka
Prior to joining Fitch Ratings Maninda worked as Head of Treasury & Corporate Finance at Dialog Telekom Plc., one of the largest telecommunications company in Sri Lanka. Prior to this he was a Senior Consultant with Ernst and Young for a period of two years.
Capital Market Master Plan Project with the SEC, register Clean Development Mechanism projects (CDM) with UNFCCC and bid process management on PPP projects for BOI were among the important assignments along with business plans and strategic plans for corporates. Maninda has 13 years experience in investment banking, and was the Group MD/CEO at First Capital a boutique investment bank. He also worked at Commercial Bank of Ceylon as a Treasury Dealer for 5 years.
He holds a Degree in Civil Engineering from the University of Bombay.
Panelists - Vajira Wijegunawardene | Director General | Securities and Exchange Commission
Vajira Wijegunawardane has been appointed as the Director General of the Securities and Exchange Commission of Sri Lanka (SEC) with immediate effect. He holds a BA (Hons) degree in Business Management and Administration from the University of Reading, UK and a Masters Degree in Financial Economics from the
University of Colombo. He also holds the International Capital Markets qualification from the Securities and Investment Institute London.
He was an Investment Analyst and Fund Manager for 10 years before joining the SEC to spearhead its capital market development mandate and has provided leadership for many key initiatives in the development and reform of the capital market in the last 8 years.
Vajira Wijegunawardane is a past pupil of S.Thomas’ College, Mt.Lavinia where he was the Head Prefect and the vice captain of the 1st XI cricket team. He won the Victoria Gold Medal for Best All Round Student in school.
He has also played 1st Class cricket for 3 leading clubs (SSC, Tamil Union & Moors CC) in Sri Lanka and 1st Div. league cricket in England. He is also a keen photographer and a dedicated naturalist. He is the author and photographer of the best selling Coffee Table book – Sri Lankan Elephant – A Celebration of Majesty. He is currently a Director of Environmental Foundation Ltd (EFL).
Panelists - Mano Tittawella | Executive Chairman and Managing Director | EAP Group
Mano has an MBA in Capital Markets & Finance from the University of Edinburgh and a Postgraduate Diploma in Human Computer Interaction from the British Open University. He is a Member of the Chartered Institute of Marketing (CIM), UK.
Mano also held the posts of Head of Research at Jardine Fleming, Sri Lanka, Chief Executive Officer & Managing Director of Lanka Securities (Private) Limited – the Stock-broking Company of the Merchant Bank of Sri Lanka Ltd (MBSL) and Director Business Development of MBSL.
Mano was also held the position of Senior Presidential Advisor on Economic Affairs and was the Senior Director General – President’s Office from August 2003 to November 2005. Additionally Mano held several senior public offices.
Panelists - Chamira Wijetilleke | Head of Corporate Banking | HSBC
Chamira Wijetilleke’s banking career spans over 20 years, having entered the banking sector in 1993 as a Management Trainee in ANZ Grindlays, Colombo, He has also served as a member of the Corporate Banking Audit team in Australia with ANZ, and as Head of Corporate Banking in Standard Chartered, Jordan.
He joined HSBC in 2004 as Senior Manager – Corporate Banking, and was appointed Head of Corporate Banking in 2009. He holds a BSc in Finance from the University of Houston Texas and an MBA from the University of Western Sydney.
|5.30 – 6.00||Arrival of invitees|
|6.00 – 6.15||Welcome, opening remarks and sponsor messages|
|6.15 – 7.15||Keynote speech by Ajith Fernando | Managing Director, CEO | Capital Alliance
Kartik N | Director Debt Capital Markets, Asia Pacific | HSBC
|7.15 – 7.20||Sponsor messages|
|7.20 – 7.45||Panel discussion with the participation of keynote speakers and guest panelists.|
|7.45 – 7.50||Conclusion – Presentation to CandleAid in lieu of honorarium|
|7.50 – 9.00||Drinks and fellowship|