Yuanta Becomes World's First Taiwanese Issuer To Launch Structured Warrants On A Foreign Exchange – SGX

Taiwan-based Yuanta Securities Co. Ltd. and Singapore Exchange Limited (SGX) announced today that Yuanta will launch its first warrants on Taiwanese underlying stocks outside Taiwan on SGX on Monday, 25 February 2008. This marks the first time a Taiwanese issuer is venturing abroad after the Taiwan Securities and Futures Bureau granted approval on 28 December 2007 for Taiwanese issuers to issue warrants on 26 exchanges worldwide.

Yuanta will launch on SGX a total of three call warrants on three leading Taiwanese high-tech companies: Hon Hai Precision Industry Co. Ltd., ASUSTeK Computer Inc. and High Tech Computer Corp. Yuanta will be the designated market-maker for their warrants as well.

Mr Lee Hung-Chi, President of Yuanta, said: “The electronics and IT industry is a major contributor to Taiwan’s export and remains a key driver of Taiwan’s economic growth. Yuanta is pleased to offer warrants on three of Taiwan’s leading homegrown international technology companies on SGX, and we look forward to further opportunities for development in this industry. Today’s move marks our first overseas venture to launch warrants in other international markets. I’m confident that Singapore’s clout as a regional financial centre and SGX’s growth as an Asian Gateway will reap excellent value for the three Taiwanese companies.”

“SGX’s structured warrants market has seen very strong growth in recent years. On the back of that growth, we continue to diversify our warrants platform by introducing new warrant issuers and warrants on new foreign underlyings. We are pleased to be the first exchange outside Taiwan to welcome Yuanta Securities, as our newest warrant issuer. This move will give investors the opportunity to participate in Taiwanese underlying equities through SGX,” said Mr Hsieh Fu Hua, Chief Executive Officer, SGX.

Yuanta – the largest brokerage in Taiwan with 11.19% market share in 2007 – issued a total of 939 warrants raising a total sum of approximately NTD54.7 billion (S$2.4 billion) from 1997 to 2007. With its extensive experience in warrants issuance, transactions and risk management accumulated over the years, Yuanta is committed to maintaining its market lead by seeking further business expansion in overseas markets. In Singapore, Yuanta will dedicate efforts to broadening the suite of warrants on Taiwanese underlyings, providing research information and performance trends of Taiwanese underlyings, as well as offering Chinese education programmes to reach out to the domestic investors.