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Number of listed firms on TWSE rise from 7 to 900 within 54 years

Number of listed firms on TWSE rise from 7 to 900 within 54 years

Fifty-four years after the market became operational in 1962, the number of listed companies on the local main board rose from seven to 900, according to the Taiwan Stock Exchange (TWSE).

The TWSE, which operates the local main board, said that the listing of Answer Technology Co.'s shares on the exchange on May 18 turned a new page in local equity history to boost the total listings to 900.

Answer Technology, which engages in the distribution of integrated circuits, had previously listed its shares on the over-the-counter market since 2011.

On the TWSE's first day of operations on Feb. 9, 1962, there were only seven listed firms on the exchange, including Taiwan Cement Corp., Taiwan Pulp & Paper Corp. and Taiwan Tea Corp.

By the end of 1962, the number of listed companies on the TWSE increased to 18 with a total market capitalization of NT$7 billion (US$215 million), the exchange said.

With the local economy expanding, the number of listed firms on the local main board continued to grow, and the total listed companies topped 100 in 1980 to push the market cap up to NT$219 billion.

During the period of 1962-1980, the TWSE witnessed a diversification of listed companies on the exchange by having China Steel Corp., Hua Nan Commercial Bank and Yulon Motor Co. on board.

Over the succeeding years, Taiwan's economy continued to grow at a rapid pace, with the number of listed companies on the main board surpassing 200 in 1991. During the period of 1994-2002, the number jumped to more than 600 with the total market cap rising to about NT$9 trillion from NT$3.18 trillion.

During that eight-year period, telecom operator Chunghwa Telecom Co., the world's largest contract chip maker Taiwan Semiconductor Manufacturing Co. and the world's largest contract electronics firm Hon Hai Precision Industry Co. joined the growing list of listed companies on the main board.

Since then, the local main board has become dominated by a large number of high-tech firms, transforming itself from an exchange which had previously focused on old economy stocks, such as food suppliers and cement makers.

After years of efforts, the TWSE saw the number of listed firms grow to 700 in 2008, 800 in 2012, and even hit 900 on May 18.

The TWSE said that the exchange has been proud of the achievements of the local main board, which served as a driver of local economic growth.

In 2015, the average stock dividend of the local main board hit 4 percent and the average price to earnings ratio stood at 15, thus making the market highly appealing to many investors.

As of the end of 2015, the number of people employed by the listed companies on the main board totaled about 1.12 million, accounting for more than 10 percent of the workforce in Taiwan. The TWSE said that the capital market's contribution to the economy cannot be ignored.


Updated : 2021-05-17 19:21 GMT+08:00