CSE hosts briefing event for potential Empower Board sponsors

The Colombo Stock Exchange (CSE) briefed sponsors mid last week in a bid to encourage them to register with the CSE to assist entities listing on ‘Empower’, a listing platform fostering capital raising and growth opportunities for Sri Lankan Small and Medium Enterprises (SMEs), officials said.

Amongst the participants, certain investment banks, commercial banks, chartered accountants, groups of people such as single practitioners and audit firms who aim to play the role of a sponsor, had attended, they said.

These entities will evaluate the eligibility of an enterprise to be listed. “Also CSE expects to work with the chambers,” an official told the Business Times. The CSE and the Securities and Exchange Commission (SEC) will call upon the World Bank, the Asian Development Bank and the JICA to assist them in popularising this board.

SMEs listing on the Empower Board are required to submit such applications through an independent sponsor registered with the CSE, a party defined as a company or individual with experience in investment banking or corporate finance and in handling listing applications for issuers in the past. Specifically, sponsors will be required to hold at minimum, five years of experience in the field of investment banking or corporate finance, out of which three years of experience is required to be in handling listing applications of Issuers.

Sponsors are set to be pivotal to obtaining a listing on the Empower Board in terms of offering SMEs direction and the CSE is presently in the process of evaluating potential sponsors to be registered and endorsed by the exchange to facilitate listings on the Empower Board.

The participants were offered a comprehensive perspective on the requirements to be a sponsor and the registration process. The CSE also invited individuals and companies interested in pursuing a registration as a sponsor for the Empower Board to participate at the event.