Chairman of the Moscow Exchange (MOEX) Yuri Denisov reported a high interest in initial public offerings (IPO) in Russia. Now the platform is negotiating with 30-40 companies that are planning to enter the exchange in the coming years, Kommersant reports.
“We see high interest in initial public offerings. For 2020-2021 we had a lot of IPOs and SPOs. In total, we got somewhere over 650 billion rubles. We are in talks with about 30-40 companies that will be ready to enter the IPO market in the coming years,” Mr Denisov said at VTB Capital’s Russia Calling!
Most of the IPO plans are aimed at companies founded in the last 10 years. In particular the matter concerns technological companies. Mr. Denisov said that the share of non-resource sector has increased from 32% to 42% since 2019.
Moscow Exchange notes the role of individuals in initial public offerings – they “close from 10 to 30% of placements.”
Roman Goryunov, CEO of SPE Exchange, noted at the forum that companies planning to enter the exchange should understand their responsibility to investors.
“Companies that want to enter the market should understand and change their internal culture and realize that market entry is not the end of the story when they placed the stock, received money and let the grass grow. This is the beginning of the story, because then they have a responsibility to investors, the need to comply with very stringent corporate governance requirements, to develop in order to bring profit to their investors,” said Mr. Goryunov.
In November the Ministry of Economy disclosed details of support plans of technological start-ups within the framework of the strategic initiative “Start-up to IPO” recently approved by the government. Potential technological leaders are promised assistance at all stages of formation: from idea and acceleration to maintenance of business stability.
The Moscow Stock Exchange building in Moscow. Photo: Yandex Images
