Non-public joint stock companies will be able to sell shares in the ‘new market’
The Capital Markets Board has determined the principles regarding the sale of the shares of non-public joint stock companies (AŞ) to be issued through capital increase in order to be traded in the Venture Capital Market (GSP) to qualified investors without public offering. Then, the Venture Capital Market was created in Borsa Istanbul.
According to the CMB’s communiqué published in the Official Gazette, a prospectus whose principles are determined by the CMB must be prepared and approved in order for the shares of joint stock companies to be issued through capital increase to be sold to qualified investors without public offering and to be traded in the GSP.
WHICH CONDITIONS ARE WANTED?
As of the financial statements of the said AŞ’s, which were prepared in accordance with the CMB regulations and which had undergone special independent auditing, for the year prior to the year in which the shares will be offered for sale; In order to switch to the registered capital system, the conditions must be at least 20 million TL in total assets, at least 10 million TL in net sales, and that the registered capital must be at least 10 million TL and fully paid. The shares of the AŞ’s within the scope cannot be sold by offering to the public before the completion of the 2 years following the year they started to be traded on the stock exchange.
A.Ş. is obliged to apply to the CMB for the approval of the prospectus, which will be issued only by offering to the public through capital increase, which allows their shares to be traded in other markets of the stock exchange, for a period not exceeding 5 years following the year their shares started to be traded on the stock exchange.
Borsa İstanbul announced that a ‘Venture Capital Market’ has been created in Borsa İstanbul to contribute to the growth of companies.
IT WILL BE PUBLIC
In this market, which is aimed at companies that are not yet ready for public offering but want to make public offerings in the future, companies can obtain the financing they need for growth by issuing stocks to qualified and institutional investors only through capital increase, it was stated: After approval, it will sell its shares to qualified and institutional investors. These shares will be traded only among qualified and institutional investors in the Venture Capital Market.”
In the statement, it was noted that the company will become publicly traded when it starts trading in this market, and will be subject to the Capital Market and Stock Exchange legislation. Companies that have completed the necessary institutionalization steps and have grown by making their investments will be ready for public offering and will be able to apply to offer their shares to the public this time. Thanks to this market, companies will have the opportunity to get financing earlier, and they will have realized their growth and institutionalization in a healthier way.