CmaBoardReleases
Title: Press Release: An Invitation to Participate in the Questionnaire of Establishing a Platform Specialized in Listing and Trading Shares of Small and Medium-Size Growth Companies
Kuwait, June 26, 2022 – In realization of the important role of the small and medium growth companies in the countries’ economies, several securities authorities adopted initiatives that shall support this sector and enhance prosperity and growth for the parties involved. Such initiatives included offering financial solutions through establishing a platform for the small and medium-size growth companies, and setting flexible and easier listing requirements to suit the nature of the companies in this sector and their growth stage.
Due to the importance of considering this topic, the Capital Markets Authority (CMA) has studied developing an attractive financial market to finance such companies, which shall enhance the growth of the business sector in accordance with the best international practice. It will be considered as an additional option that supports those companies, and at the same time it will be a new investment option available to investors pursuant to suitable transparent standards.
The CMA has surveyed the opinions of some specialists in this field, and held meetings with some owners of small and medium-size companies, which witnessed a remarkable growth in their activities. It has also met with some venture capital companies to seek their opinions and observations on the feasibility of establishing an exchange for such companies, and the practical aspects that should be considered. Moreover, the CMA’s perception regarding the establishment of an exchange for the small and medium-size companies was discussed, a brief idea on the requirements expected to be imposed for listing in such market was presented, and the opinion of the entities regarding regulating this exchange was reviewed. The possibility of setting some standards for the qualified investors that have the right to trade in this market due to the risk involved in this type of investments was also discussed. Recently, the CMA has coordinated with Boursa Kuwait Securities Company to discuss their vision in achieving this project, and plan for the upcoming steps in light of the results of the opinion polls that the relevant teams are continuously implementing.
In order to involve a larger segment from the relevant entities, the CMA has published a questionnaire in which it invites all the specialists and those interested in this field to express their opinions and vision regarding establishing a platform for the listing and trading of the small and medium-size companies, and the added value for those companies and the market in general, and to discuss the proposed incentives of listing those companies when establishing a platform specialized in small and medium enterprises. You may participate in the questionnaire of establishing and developing a trading platform for the small and medium-size enterprises in the State of Kuwait through the following link:
https://www.cma.gov.kw/ar/web/cma/market-regulation
The last day of participating in the questionnaire is Thursday 07/07/2022.
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Notes to Editors:
The Capital Markets Authority was established pursuant to Law No. 7/2010, approved by the Kuwaiti Parliament in February 2010. Pursuant to the Law, the CMA shall regulate and supervise the securities activities, achieve transparency and fairness, observe listed companies’ execution of Corporate Governance regulations, and protect investors from unfair practices which violate the CMA's Law.
Furthermore, the Law's provisions stipulate the supervision of mergers, acquisitions, and disclosure operations. The CMA also aims to provide awareness programs related to securities activities.
For further information, please contact:
Public Relations & Media Office
Tel: 22903062
Fax: 22903505
Email: pr-media@cma.gov.kw