SINGAPORE: The Singapore Exchange (SGX) and the Tel-Aviv Stock Exchange (TASE) announced on Monday (May 14) that they have established a partnership focused on growing capital raising opportunities for companies, particularly in the technology sector.
In a joint press release, the bourses said they will work together to support technology and healthcare companies which are looking to tap the capital markets to fund their growth plans in Asia and globally.
They will "pro-actively engage with technology companies seeking to penetrate Asian markets to list on both exchanges", they said.
This will include assisting companies during the pre-listing stage, facilitating the listing process, and providing issuers with post-listing support by leveraging the exchanges’ network and platforms, SGX and TASE explained.
"The partnership brings together the complementary strengths of SGX and TASE to create greater value for issuers and investors, and at the same time, extend each exchange’s geographical reach and connectivity," they said in the press release.
Besides listings, SGX and TASE will explore other related areas of collaboration, including the potential development of a private market eco-system in Israel and enhancing the post-trade connectivity and services between the two markets, they said.
SGX CEO Loh Boon Chye said TASE has access to one of the world’s largest populations of technology startups and a rapidly expanding research and development (R&D) hub in the technology and biotech space.
"Our partnership with TASE complements SGX’s efforts to strengthen our technology sector, as well as Singapore’s ambitions to be a global technology and R&D hub."
Meanwhile, TASE CEO Ittai Ben-Zeev said the partnership creates a "unique value proposition" for Israeli tech companies where they will be evaluated by a global and professional investor base while “staying at home”.
"For the first time, Israeli companies will be able to raise funds on both markets simultaneously. Dual-listing or performing a simultaneous IPO on both exchanges can assist Israeli issuers in increasing liquidity and gaining attractive valuations from a broad Asian investor base while ensuring domestic demand. We see a huge potential in SGX as a global tech hub, and as a gateway to Asian capital markets through quick and efficient fund raising process."