Nominated Advisors are something you might come across If you’ve been in business for a long time. If your business has been consistently profitable, you may want to list on the Nairobi Stock Exchange. There could be so many reasons you’d want to be listed in the stock markets. However, For most Companies, the main reason to get listed is usually to raise capital and to spread the risk of ownership. Nominated advisors help you in navigating through the complex compliance and decision-making process to get you listed publicly.
Getting your business Listed on the Nairobi Stock Exchange (NSE)
In the past, due to prohibitive costs and requirements, getting listed was difficult. Accordingly, the NSE set up the Growth Enterprise Market Segment (GEMS). GEMS made it easier for venture companies which don’t have a profit history, as well as SMEs to list on the NSE. This in turn helps such companies to raise substantial and ongoing capital. In addition, listed companies benefit from an increased profile and liquidity within a regulated environment specifically made for you.
Growth Enterprise Market Segment (GEMS) on the NSE has established much lower minimum requirements for companies to get listed. In this respect, a Nominated Advisor ‘puts in word’ for you to get listed. NOMADs come in to prepare you for listing.
Assessing your company’s readiness for Listing on the Nairobi Stock Exchange NSE
To get you listed, a NOMAD must first understand the essence and business of your company. Additionally, the NOMAD must prepare your business’ Board, Directors or management for listing. To do this, the Nominated advisor assesses the fitness or suitability of all Board members. In doing so, NOMADs act as a link between your business and the Nairobi Stock Exchange.
So, who are Nominated Advisors?
It takes a lot of requirements for any company to be considered a NOMAD for the NSE. To begin with, NOMADs must be a company with at least 3 years’ experience dealing in similar work. Such a company must also have at least two authorized representatives. Being a NOMAD requires cross-sector expertise. They also require HR and Operational expertise to be able to advise boards on the technical viability of a company.
Scribe Registrars is a listed Nominated advisor that you can consult when planning to get listed on the Nairobi Stock Exchange.