What does this mean for investors and firms involved in ICOs? ICOs come in different sizes and forms. They also offer different risk exposures to different business models across different jurisdictions and their legal systems. The rapid development of ICOs and the rapid expansion of cryptocurrency has caused concern amongst policymakers and supervisors. A key driving force for that concern is that much of the activity lies beyond the existing ‘regulatory perimeter’ and thus presently…
Baker McKenzie’s latest Cross-Border IPO Index shows that there were no cross-border IPOs from African companies in the first six months of 2017, the first time in five years this has happened.
The Index also shows that five companies in Africa have raised a total of USD 512 million so far in 2017 from domestic listings, up from the eight companies that raised USD 492 million in H1 2016, but down from the USD 596 million raised from seven domestic deals in H1 2015. Three of five the companies that went public in H1 2017 are South African, while the remaining two are Egyptian and Tanzanian.
The UK’s Financial Conduct Authority (FCA) published a consultation paper on 13 July 2017 proposing the introduction of a new premium listing category for commercial companies with a sovereign country shareholder who controls 30% or more of its voting rights. The new category would effect a relaxation of certain aspects of the existing premium listing rules and is widely seen as London’s competitive response to the highly-anticipated IPO of 5% of Saudi Aramco. The deadline for responses is 13 October 2017.
On 31 July 2017, Borsa İstanbul A.Ş. amended its Borsa Istanbul Listing Directive (the “Directive”), relaxing and softening the listing requirements for the Star Market (Yıldız Pazar), which is expected to increase the number and volume of initial public offerings.