“A newborn child of WSE”
Does New Connect – sub-market of WSE - have a chance to repeat the success of AIM in London ? This new platform for investors seems to be on the right track. However, with some obstacles...
On August 30th the new share market “New Connect” got off the ground. It is designed to finance small companies with high potential for growth with a more flexible regulatory system and supervision than is applicable to the Main Market. Simultanously this is the new offer for investors who are ready to accept higher risk in exchange for more significant capital returns.
New Connect’s parents assume that this market would be a perfect place to float shares for small, young and innovative companies which are in need of capital for R&D. The capital supply is supposed to be an incentive for them to expand their development, smaller regulatory requirements would not impede their competitiveness. On the other side, New Connect is expected to arouse interest among such investors like PE/VE funds, specialized close and asset-management funds, individual investors with sizeable means.
How to find a way to make a debut on New Connwct with a success? At this point legislator outlines close cooperation with the Authorised Adviser (listed in WSE register). This institution is designed to help the company to be launch and to survive. At the first stage it examines a financial condition and perspectives of the company. Then it monitors preparation of informative document and approves it. After that it handles with all formalities with Polish Financial Supervision Authority and The National Depository of Securities. The Authorised Advisor vouches for the accuracy and credibility of all information.
Moreover, it is responsible for supporting a good performance of the company in the minium first year of its presece on the market. The role of Authorised Advisor may fulfil such entities like credible investment trust company, legal firms, financial...