Seven companies transitioned from the SME market to the main market under the Egyptian Exchange's growth strategy.
Ahmed El-Sheikh, Chairman of the Egyptian Exchange (EGX)
Ahmed El-Sheikh, Chairman of the Egyptian Exchange (EGX), has announced that seven companies have successfully transitioned from the Small and Medium Enterprises (SME) market to the main market, following the implementation of a strategy aimed at developing the SME market. He explained that the listing in this market is now linked to companies achieving their declared expansion plans and growing their business volumes, ultimately leading to their transition to the main market.
El-Sheikh made this statement during the "ringing the bell" ceremony, celebrating the transition of the International Fertilizers and Chemicals Company from the SME market to the main market.
He added that the EGX's management is committed to the philosophy of the SME market, which serves as a "business incubator" where companies are expected to remain for three to five years, during which time they can leverage their listing on the Egyptian Exchange to execute their expansion strategies, enabling them to move to the main market. El-Sheikh emphasized the exchange's efforts to encourage high-growth potential companies with strong financial health to list and benefit from being part of the Egyptian Exchange.
According to El-Sheikh, the transition of the International Fertilizers and Chemicals Company to the main market demonstrates the success of the EGX's strategy in encouraging SME-listed companies to expand and move to the main market. It also underscores the vitality of the fertilizer sector, which offers ongoing growth and export opportunities both locally and globally.
El-Sheikh further highlighted the EGX's current strategy to support sustainability efforts, mentioning that the exchange is working with several listed companies on a plan to encourage them to issue carbon emission reduction certificates. These certificates would be traded on the African voluntary carbon market, alongside their listed shares. He expects that some companies will be able to issue these certificates within the next year to 18 months.
