The Bulgarian Industrial Association- the Union of Bulgarian Business, has signed a cooperation agreement with “IP Aval In”- the first company, approved by the Bulgarian Stock Exchange as a Bulgarian Enterprise Accelerator Market Advisor for Small and Medium- Sized Enterprises.
The documents were officially signed by the Chairman of BIA- Radosvet Radev, the Chairman of IP Aval In AD- Biastra Ilkova and the Executive Director of IP Aval In- Velichka Sahakian.
The agreement foresees the promotion of the newly created Stock Market of the Stock Exchange as a place for alternative financing for small and medium-sized enterprises (SMEs), their registration, promotion of products and services, as well as increasing the credibility of small companies on the international market.
What is “Growth Market”?
The SME Growth Market (BEAM) is primarily target at small and medium-sized companies that are registered as joint-stock companies in the country or abroad.
Any company that wants to raise capital on the BEAM market needs to enter into a contract with an approved advisor by the BSE such as the IP Aval In for at least two years.
The market is attractive for ambitious and innovative companies with an existing business looking for additional funding to develop their business, increase publicity of the offered products and services and expand their shareholding base.
Who can register on the Growth Market?
It is necessary for the companies to be register as joint-stock companies in Bulgaria or abroad. The shares must be in the book-entry for or be immobilized in the appropriate manner in a depository institution. Their transfer conditions must not be restricted or limited.
Those, wishing to participate in the Stock Exchange must also have an audited financial statement for the previous financial year and a contract with an Advisor (such as IP Aval In), which is approved by the Bulgarian Stock Exchange for a period of at least 2 years.
In addition to the small and medium-sized companies, larger companies may be registered on the BEAM market, the limit being that their market capitalization does not exceed EUR 200 million over the past three calendar years.
Companies that have already been listed on the BSE Main Market cannot be traded, but there is no restriction on and for the listed companies in the EU member states.