Boursa Kuwait Securities Company (BKSC) has unveiled its strategic roadmap for the takeover of the Kuwait Stock Exchange (KSE) and its transformation into a leading regional exchange that reflects the strength and depth of Kuwait’s private sector.

Khaled Al Khaled, BKSC chairman and chief executive officer, said: “Over the last four months we’ve not only worked on creating a viable transformation that brings about much needed change to the Kuwait Stock Exchange without business interruption, but also built a clear strategy and a thorough business plan for the next five years in order to achieve set goals and objectives.”

BKSC’s transformation strategy, which was developed jointly with The Boston Consulting Group, was the result of rigorous and dedicated efforts by BKSC’s strategy team, said a statement.

The strategy, which was built during the four-month period included a market scanning exercise, best-practice benchmarking of global peers and an in-depth analysis of KSE’s operating models, it said.

The company’s takeover of the KSE is pending a final takeover mandate by Kuwait’s Capital Markets Authority.

More than 2,300 hours have been invested to date, and 65 intensive meetings were held with senior stakeholders and market leaders to gather their perspectives and expectations from BKSC as the new operator of Kuwait’s sole exchange.

The meetings were held with senior officials from leading banks, investment and brokerage firms, business associations, listed companies, the Ministry of Finance, the Chamber of Commerce and the Capital Markets Authority.

“Today, we operate with a well-founded vision that reflects the aspirations of Kuwait’s private sector and regional investors. A vision to develop a liquid, reliable and sound capital market providing securities’ issuers with efficient access to capital and investors with diverse return opportunities, evolving into a leading regional exchange by 2020,” said Al Khaled.

“Our goal is to have a stock exchange that represents the strength, depth and resilience of Kuwait’s private sector,” he added.

To ensure a smooth transformation of the exchange, BKSC has developed and initiated a detailed operational takeover plan, said the statement.

The plan consists of 11 critical work-streams, each of which contains multiple projects to ensure swift transition of systems and high priority processes, it said.

All work-streams have been initiated and the teams are working closely with KSE management to ensure the successful takeover and transformation of the stock exchange.
 
An integral part of the transformation of the Kuwait Stock Exchange into a private institution is ensuring that BKSC operates efficiently with the right talent force in terms of size and capabilities, said the statement.

During the strategy and business plan development phase that took place over the course of the last four months, BKSC has reviewed KSE’s organisational structure and human capital framework, designed a new structure in line with strategic objectives and best practices, and identified the skills, talents and staff requirements for the period leading to 2020, it added. - TradeArabia News Service