Raise Capital. Raise Your Profile. And Grow. With the BME Exchange
BME Exchange is the ideal venue to fund your business growth, launch new projects, or develop ground-breaking new products. For almost 200 years, BME Exchange has been helping Spanish businesses take advantage of market opportunities, to strengthen their funding, their visibility and their growth.
The BME Exchange team is at your side at every step of an IPO, ensuring that the process is clear and simple and that you make the most of going public.
From information and training to access the market for the first time before your IPO to more specific services after your first day of trading, our origination and issuer relations teams will support you on your journey. All, to enable businesses to successfully realise their full potential, through solutions tailored to their size and needs.
Benefits of going Public
In an increasingly competitive environment, continuous growth has become one of the basic objectives for a company. And it needs to be financed. Effective leadership and management may involve the raising of capital, but it also raises the need for an appropriate balance between equity and borrowed funds.
This makes funding through BME Exchange one of the best environments to raise capital offering transparency, compliance, liquidity and access to investors. Essential for growing companies to establish financial soundness, market credibility and risk management.
To be a listed company is a sign of solvency, transparency and prestige. Potential Investors value every effort made to streamline and improve the professionalism of management. This creates a constant incentive for making the company more competitive.
This prestige is recognized not only by investors, but also by clients, suppliers and financial executives of the company. The results are stronger business position, improved relations with suppliers, clients, banks, etc.
The stock market is in the news every day. The interest of professional analysts and investors in information on listed companies has raised the profile of these companies over unlisted ones in the media, particularly in the financial press. For consumer goods or services companies in particular, listing helps to make a brand better known and improves company's image.
BME Exchange enables the owners of a company to quickly realise the capital invested in the business. This can be for a variety of reasons - to obtain funds for other investments; to diversify risk or to diversify into other activities in sectors with a different economic cycles.
Whatever these reasons may be, a BME Exchange listing can help support the diverse needs of its its clients – including family-owned businesses.
The shares of a listed company have an objective market value. The stock market systematically incorporates growth and profit expectations when evaluating listed companies, as well as external variables. This feature distinguishes the prices of stock market operations from those paid using other methods. The market value is a key reference for the company's executives when taking decisions as shares are a highly liquid payment instrument which can be offered in a financial transaction, as collateral for loans, etc. Also, companies can opt to reinvest profits instead of paying dividends, without affecting those shareholders who need immediate liquidity.
Finally, listed companies have the advantage over other firms of a liquidity premium in their share price. Investors usually prefer shares that can be sold when needed.
Being a listed company means gaining access to a large volume of funds from investors. And companies do not have to seek out them one by one. The stock market provides them.
There are several types of investor in the Stock Exchange. Each one, with its own ways of operating, is tracking new companies in which to place funds. But listing enables a company to precisely design the type of shareholder required and have a stable base of them.
Being a listed company requires compliance with a series of maintenance requirements, fundamentally related to transparency. Public companies must keep their shareholders and potential investors permanently informed, and this requires having the necessary human and technical resources. But, far from being a burden or a cost, the necessary professionalization of the corporate structure and internal procedures of listed companies enhances investor confidence and, therefore, improves their financing capacity.
Furthermore, listed companies are currently subject to market scrutiny in terms of commitment to the environment, socially responsible activities and corporate governance (ESG). Today it is essential for companies to align with the recommendations on this matter, given that they have more and more weight among the factors that investors investors customers, suppliers and potential workers take into account when making their decisions. Listed companies are the leaders in this area, and this will boost their growth in the immediate future.