Bursa Malaysia Berhad (“Bursa Malaysia” or “the Exchange) and Capital Markets Malaysia (“CMM”), the promotional arm of the Securities Commission Malaysia (SC), will collaborate to engage and work with mid-tier companies (MTCs) that are seeking to undertake initial public offering (IPO) in the next 24 months.
The partnership will be effected through ELEVATE, a bespoke executive leadership programme by CMM which offers guidance on business models, strategies and funding structures that facilitate successful funding through the Malaysian equity market. ELEVATE also emphasises entrepreneurial mentorship and coaching on investor engagement. Launched in July 2020, ELEVATE spans over the course of 12 months and has been attracting companies from various industries, particularly manufacturing, technology and services. The programme’s participants mainly comprise business founders and privately held, family-run businesses in their second and third generations, who seek listing on the local bourse to expand their footprints.
Bursa Malaysia’s participation and commitment to the ELEVATE programme includes on boarding sessions, as well as capacity development workshops. In addition, Bursa Malaysia will provide pre-consultation sessions for participants that are aiming at listing as a fundraising strategy.
“The joint effort with Bursa Malaysia aims to support the growth of MTCs by preparing them for fundraising through the capital market. It will equip founders with the essential tools to professionalise their businesses and become investment-ready, which will in turn create a pipeline of companies primed for funding through the public market,” highlights Zalina Shamsudin, General Manager of CMM.
“Bursa Malaysia is pleased to join forces with CMM toward supporting MTCs to take their businesses to the next level,” said Azhar Zabidi, Director of Securities Markets at Bursa Malaysia. “In addition to providing companies with a better understanding of how to access to the capital market, as well as educate companies as to the various funding options, this initiative is also intended to help companies better understand the need to build brand visibility to potential investors as they prepare to list. Companies will also learn about the governance requirements of a public entity during the workshops, something that has become a key investor requirement today.”
The ELEVATE programme is structured in phases, beginning with the reinforcement of business and financial management fundamentals, before moving on to design thinking and the introduction of strategic funding options. It will also provide participants with a platform to pitch to sophisticated investors and Malaysian-registered private equity and venture capital firms. CMM has appointed 1337 Ventures to deliver the programme, together with Ernst & Young and Mediabrands. The third cohort is scheduled to commence in December 2021.
