Govt urged to reduce stakes listed companies

KUALA LUMPUR: Bursa Malaysia Bhd has urged the Government to sell down its stakes in public-listed companies to increase the free float of those entities.

In a statement outlining what it would like to see in Budget 2010, Bursa CEO Datuk Yusli Mohamed Yusoff said an increased free float “will in turn increase liquidity which has a direct correlation to the valuation of the company. Weightage of these companies will also be increased in the international indices with added free float.”