CSE wants to have 10 markets

The CSE Council has decided that the five markets in operation since September 2004 is not enough and it wants now to extend the number to 10, through the introduction of new services.

Last September, the CSE introduced the Main, Parallel, Alternative, Investment, Warrant and Bond markets. Now, as part of its diversification and expansion plans, the Exchange wants to separate the bond market into two, one for government bonds and one for corporate bonds.

The CSE also wants to set up a new market for the shipping industry, one for mutual funds listings and a new sector for grand projects, probably like the airport project.

For the corporate bond market, the objective is to attract listing in excess of CYP 1 mln in value, for the shipping sector in excess of CYP 10 mln and for the grand projects in excess of CYP 9 mln.

The CSE is also proceeding to introduce a number of changes with regards to how companies will be able to shift category and under what rules they will be obliged to exit from one category for the other.

The CSE will also address a major handicap by insisting that Main market stocks have a minimum value of 15 cent per share. With the SEC now fully in charge of scrutinising a prospectus, the CSE wants to become an efficient operator instead of becoming both a regulator and operator.