CGS International moves towards becoming a global investment bank

It rebrands to position itself as a nexus for capital flows between China and S-E Asia

- Colin Tan

CGS International (CGSI) - the overseas arm of leading mainland securities firm China Galaxy Securities (CGS) took its first steps towards its ambition of becoming Asia's version of Western global investment banks via a rebranding exercise on April 18.

In what CGSI group chief executive Carol Fong described as embarking on "a transformative journey", she told The Straits Times the waypoints she has set for the company.

These include growing group revenues to $700 million by 2030; seeking a listing upon achieving a certain heft; and lifting its return on equity, or how efficiently the company generates profits, to between 6 per cent and 8 per cent, up from the 5 per cent achieved in 2023.

On the timeline of the group's initial public offering, Ms Fong said that it may be some time yet as "the push to transform the business.

takes priority and the group will need to grow its profits to obtain a better valuation".

The rebranding comes in the wake of its parent CGS exercising its option to acquire for RM780 million (S$221.9 million) from Malaysia's CIMB Group the remaining stake in their joint venture-known as CGS-CIMB Securities in December 2023.