Capital markets an alternative financing source for SMEs
Lisbon - 23 May2013 – Financing through the capital markets is an alternative for Small and Medium-sized Portuguese companies (SMEs) to move forward with the implementation of investment and growth projects. Consequently, NYSE Euronext Lisbon (the Portuguese Exchange) and NERSANT- the Entrepreneurial Association of the Santarém Region, will be signing a protocol of cooperation and partnership at 6 pm today.
Through this agreement NERSANT will bridge the gap with its members, pointing out that admission to NYSE Alternext – the market dedicated to SMEs - may be a simplified way for the Portuguese SMEs to enter the capital markets in order to obtain financing, diversify their shareholder structure or to issue debt securities.
Set up in May 2005, Alternext combines admission requirements that meet the needs of SMEs, and provides the investor with high standards of transparency and protection.
“The Portuguese Exchange firmly believes that Portugal and its corporations must consider all the means available to overcome today's enormous challenges. In this context, the capital markets, and particularly the stock market, given its structural relevance, continues to offer the solutions that companies are lacking”, statedLuís Laginha de Sousa, CEO of NYSE Euronext Lisbon.
And he added, “This protocol provides the formal support for the cooperation between the Exchange and business entities. Given the nature and capacity of its activity, the Exchange is an important contributor to the collective effort that companies, SMEs in particular, are making not to limit their ambitions for growth and development, but to consider other ways to find the solutions they need, such as via the capital markets. “
The President of NERSANT, Maria Salomé Rafael, in turn, stressed the importance of the protocol signed between NERSANT and NYSE Euronext Lisbon, as well as the benefits that such an agreement will bring to the NERSANT members.
“NERSANT provides support to all its members on a daily and continuous basis, promoting company rowth as well as the entrepreneurial activity of the Ribatejo region. The Association acts both as facilitator and provider of the tools companies need to carry out their activities. The protocol signed with NYSE Euronext Lisbon is of the utmost importance as it offers significantly lower admission fees to the Exchange. This agreement also provides a new and important alternative financing source, at lower cost. We are certain both parties will greatly benefit with this move”, she concluded.