GSE woos SMEs to list
The Ghana Stock Exchange (GSE) has asked the Ashanti and Brong Ahafo regional members of the Association of Ghana Industries (AGI) to take advantage of the exchange’s new market, the Ghana Alternative Market (GAX), to raise long term-capital.
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The Ghana Alternative Market is a new market initiated by the local bourse for small but promising enterprises in the country.
The GAX, which is expecting its first listing this year, was established as an alternative market with moderate listing requirements for micro, small and medium-scale enterprises (MSMEs) to attract capital for expansion.
Addressing the members of the association at the meeting, the Deputy Managing Director of the GSE, Mr Ekow Afedzi, also challenged members of the associations, who are in all sectors of the economy, to produce the first company to list on the new market.
He mentioned some of the benefits under the GSE as improvement in the financial position of the GAX company and reduced risk and improved liquidity.
Mr Afedzi mentioned that one needed not to finance business with just debt, but a combination of debt and equity so that the company could have enough space to operate and repay loans.
He added that unlike the main bourse, companies wishing to list on the GAX would have access to some funds to cover the costs of listing.
“We have done all that we can to get companies to list on the main bourse yet we still have just 34 companies,” Mr Afedzie revealed.
Mr Afedzie advised local entrepreneurs to do away with the habits of sole ownership so as to enable them to grow their businesses and the economy at large.
The vice-President of AGI incharge of small-scale sector and Chairman of the GAX Committee, Mr Samuel Apenteng, said his outfit was working at getting most businesses to patronise the market.
By Ernestina Kyerewaa Oppong