- The pre-market environment is designed to give start-ups access to funding and an insight into the working of the stock market
- The candidates come from various sectors including FinTech, Biotech, Apps and Logistics
- It will begin operating in May
30 start-ups have shown an interest in joining the first Pre-Market Environment for start-ups created by BME and the National Business Angels Association, Big Ban Angels, with the aim of improving their access to private investment and helping them gain insight into how the stock exchange works.
Big Ban angels representative and project manager, Fernando Ibáñez, notes that the projects that have applied to join the Environment have particularly valued "the training, experience and knowledge that they are to gain prior to entering the market so as to ensure favourable development as well as gaining the opportunity to be known by and have access to private investors". Likewise, business candidates that have the intention of joining the Pre-Market Environment have emphasized reputation and thoroughness via BME's support and the possibility of offering their minority investors liquidity through Transaction Day.
Vicente Olmos, Chairman of the Valencia Stock Exchange, a BME subsidiary, has stated that "BME aims to give the businesses that join the Environment the support they need to develop the competences that market regulations require to enable them to get funding through the capital markets managed in particular by the MAB. In order to achieve this, it will assist the businesses in adapting to the markets' workings and provide training for its shareholders and directors particularly in the compliance of requirements for access, permanence, reporting obligations and corporate governance.
The start-up candidates come from sectors which include FinTech, Biotech, Apps, Logistics, Industrial Engineering, Renewable Energy, Recycling, Incubators and Telemedicine. The Environment's main aim is to give those start-ups that take part the support they need to develop the competences that market regulations require, and to enable them to get funding through the capital markets managed by BME Group companies.
The start-ups interested in joining the pre-market environment must fulfil the following requirements:
- Be public limited companies ("sociedades anónimas") or private limited companies, and have been operational for at least 2 years.
- Submit their audited financial statements for the last 2 financial years
- Publish their 3-year business plan and be seeking funding of between €500,000 and €2 million, or the maturity of their current status must be such that their interest lies solely in the experience and training available in the environment to gain access to the markets operated by BME Group companies.
At this point, the Decision-Making and Supervisory Committee (CDS), composed by Big Ban angels and BME will evaluate the requests received and select the first candidates starting on 11 April. Therefore, everything will be in order for the Pre-Market Environment to begin functioning by May. The first Investor's Day will be held on this day as part of an open day at the Valencia Stock Exchange.
As well as providing virtual and physical space at the Valencia Stock Exchange, the businesses that join the initiative will receive, along with their shareholders, training on how the markets work. This training will be provided by professionals from BME and will enable them to advance in their compliance with funding requirements.