QEVM - Why List

Many of the advantages detailed on ‘Why List’, are also relevant for the QE Venture Market, most particularly diversifying sources of funding through access to permanent equity capital whilst offering liquidity to financial, family or minority shareholders as well as visibility.

In addition, the QE Venture Market is designed to be your route to a diversified investor base and an important element of the Qatar Stock Exchange product choice overall which:

  • Provides an alternative route to market
  • Allows the necessary flexibility to develop a regulatory structure best suited to mid-cap companies
  • Allows the necessary flexibility to develop a lower cost pricing structure
  • Establishes a universe of peer group companies which will be beneficial to investor following and research coverage and...
  • Provides liquidity in both the primary and secondary markets on a leading technology platform.li>

How to List

In terms of process and procedures, the documentation, application and review process is broadly similar for the Main Market and the Venture Market and both processes are governed by the QFMA Offering & Listing Rules.

However, there are differences, designed to provide flexibility to QE Venture Market companies, the most important of which are detailed below:

Track Record Minimum 1 Year
Subscribed Capital The subscribed capital should be fully paid up and a minimum QR 2 million.
Free Float Minimum 10%
Shareholders Minimum 20 persons (excluding Founders)
Published Document Information Memorandum

For a full discussion of the regulatory requirements, prospective issuers and advisors should refer to the QSE Rulebook and the QFMA Offering & Listing Rules.

Timeline

Prospective issuers and advisors can consider this indicative timetable to be broadly applicable for both the Main Market and the Venture Market.

Should issuers pursue a Direct Listing with no Public Offer, the subscription, allocation and refunding processes will not be applicable.

Ongoing Obligations

Ongoing obligations for any market are critical to building trust with the investment community. Investors need sufficient detailed and timely information to be able to make informed decisions. As such, the ongoing obligations for the QE Venture Market take account of the reporting capabilities of younger companies but within the minimum constraints set out by public markets globally.

We believe the QE Venture Market strikes the appropriate balance.

The major differences for the QE Venture Market are:

Periodic Obligations I Reporting on a semi-annual (management accounts) and annual basis (audited) only.
Periodic Obligations II The semi-annual reports shall be published within a period not exceeding (60) days from the end of the relevant half year and the annual within a period not exceeding (120) days of the end of the financial year of the Issuer.
Trading Continuity Listed companies must at all times meet the minimum float and shareholder requirements as stipulated on listing.
Corporate Governance ‘Comply or Explain’ (Report a minimum of once in three years).
Listing Advisor Optional post-listing but QFMA may require for 6 months or longer period.
Transfer (Main) After a minimum of one year and on meeting the entry criteria for the Main Market.

For a full discussion of the regulatory requirements, prospective issuers and advisors should refer to the QSE Rulebook and the QFMA Offering & Listing Rules.