The Financial Securities Exchange (FINSEC) renders a convenient and technology driven securities market which caters for the interests of every category of issuer and investor. FINSEC is an agile exchange with listing and trading rules that are designed to accommodate various types of securities and yet retains robust and transparent structures for risk containment. Companies can list on the exchange through either an Initial Public Offering (IPO), listing by introduction (LBI) or listing by private placement.
FINSEC has introduced an intervention dubbed the GEM Portal that enables SMEs and High Growth Enterprises to access more diverse funding options such as debt (long and short term), listing on FINSEC, opportunities for pre – IPO funding, IPO pathfinder and restricted offers. Prospective companies complete an online application for raising capital through either equity listing on the FINSEC Exchange or through debt financing by investors. The interactive online form has an in-built comprehensive scoring and rating mechanism of each input by the applicant, indicating to the applicant how well they are doing and the prospects of their application. Applications that meet the predefined minimum score will be exposed to various providers of capital.
Moreso, companies can List by Introduction on FINSEC. Listing by Introduction (LBI) allows a company to apply for listing without the conduct of an initial public offering (IPO) prior to the initial listing of the company’s securities on FINSEC. It applies to an application for listing of securities that are already issued or securities that will be issued upon listing, where no public offering will be undertaken.