Overview:
According to Paul Bwiso, the CEO of USE, the platform also facilitates private companies with numerous shareholders to benefit from the efficiencies provided by the existing trading and depository platforms.
The Uganda Securities Exchange (USE) has introduced a specialist market platform, which will support companies that meet the minimum listing requirements to list on the Exchange’s public market segment and access capital.
This will be by connecting them to select capital providers for equity and debt funding.
According to Paul Bwiso, the CEO of USE, the platform also facilitates private companies with numerous shareholders to benefit from the efficiencies provided by the existing trading and depository platforms.
“USE Edaala is an unquoted securities platform that supports companies that may not yet be eligible to list on the Exchange’s public market segment, access capital for long term funding through private placements and restricted offers,” he said.
“This is made possible by connecting them to select providers of capital (professional investors) for both equity and debt funding,” he added.
Mr Bwiso said shareholders specifically, are able to trade their shares should they wish to divest their stock and utilise portfolio management tools available through the platform.
He listed the benefits as access to long term capital through private placements for enterprise growth, access to a wider pool of domestic and international investors and flexible admission and regulatory compliance requirements
Mr Bwiso said issuers can benefit from price discovery to recognize the true value of their company and fraining for the future- should one intend to list on the public market in the medium to long term.
For investors, he said, the platform provides a convenient and cost-effective entry and exit mechanism and increased transparency for Investors through regulated reporting
Others are access to investor support management services through leveraging available integrated technology systems and increased liquidity and execution speed for securities of quoted companies.
The beneficiaries are any private or public company incorporated in Uganda and registered /licensed with the relevant authority in its industry of operation with minimum net capital of Ugx 500M, has been in operation for not less than 03 years and is a going concern and not subject to any insolvency proceedings or subject to any voluntary creditor arrangements.