An applicant seeking a listing on the DEM should have :
A minimum market capitalization of Rs.20 million
At least 100 shareholders
A minimum of 10 % of their shareholding in public hands
Published accounts for at least 1 year prepared in accordance with IFRS and audited in accordance with ISA without qualification.
The Stock Exchange of Mauritius may grant admission to a company having less than 10 % of shareholding in public hands or having less than 100 shareholders provided that the company undertakes to increase its shareholding in public hands to 10 % and its number of shareholders to 100 not later than the end of the first year of admission, failing which the company may be struck off from the DEM. Admission may also be granted to a company if it has no proven track record provided that the company submits to the Exchange a sound business plan covering at least 3 years and certified by an independent financial adviser, demonstrating sustained viability of the company and disclosing risk factors.
Admission requirements for OTC companies
Fast-track Route for OTC companies
An applicant, which has been an OTC company for at least 6 months immediately preceding the application, is only required to produce an abbreviated admission document. The Exchange may, in certain circumstances, waive the requirement relating to market capitalisation with regard to OTC applicants. FSC shall be informed of such waiver.
In this regard, the OTC applicant must submit a letter to the Exchange confirming that it has complied with all the requirements of the Stock Exchange (Operation of the Over The Counter Market) Rules and it must produce an abbreviated admission document containing the following information:
The published annual accounts for the last three years .
The latest half yearly report, where such report is available or the latest report that reflects the overall financial situation of the company since the last published annual financial statements.
Any prospectus or offering documents published by the applicant in the last 12 months;
A description of any significant change in the financial or trading position of the applicant, which has occurred since the end of the latest published financial statements, or a negative statement;
A statement by its directors that in their opinion having made due and careful enquiry, the working capital available to it and its group will be sufficient for its present requirements, that is for at least 12 months from the date of admission of its securities.
A statement that application has been made for admission, the date on which the shares will be admitted to trading and on which dealings will commence, the number and nominal value of the shares
A Responsibilitystatement signed by at least two directors of the company on behalf of the board to the effect that they accept responsibility for the contents of the document and that where applicable, to the best of their knowledge and belief, and after making reasonable inquiries the document complies with the Act,or any rules or regulations made under the Act as applicable.
This abbreviated admission document must be available publicly, free of charge, for at least one month from the admission of the applicant’s securities to the New market.
Admission requirements for non-OTC companies and international companies
Admission Process for Non-OTC and International Companies
Non-OTC companies and International Companies will have to submit a full-fledged admission document. This document should contain, inter alia, the following key information:
A statement signed by at least two directors of the company on behalf of the Board to the effect that they accept responsibility for the contents of the document and that where applicable, to the best of their knowledge and belief, and after making reasonable inquiries the document complies with the Act, or any rules or regulations made under the Act as applicable.
Prominent disclosure of risk factors that are specific to the company or its industry and that are material to the securities being offered and/or admitted to trading in order to assess the market risk associated with these securities in a section headed “Risk Factors”;
Information regarding history and development of the company;
A description, (including the amount) of the company's principal investments for each financial year for the period covered by the historical financial information up to the date of the admission document, the company’s principal investments that are in progress, and Information concerning the company's principal future investments on which its management bodies have already made firm commitments;
A business overview and description of key factors relating to, the nature of the company's operations and its principal activities, and an indication of any significant new products and/or services that have been introduced and, to the extent the development of new products or services has been publicly disclosed, give the status of development;
To the extent not covered elsewhere in the admission document, provide an operating and financial review, i.e. a description of the company’s financial condition and Operating Results;
A narrative statement of how it has applied the principles of the Code of Corporate Governance or specify the reasons for non compliance, and where applicable, state the alternative practice(s) adopted;
A list of major shareholders of the company, and the name of any person who, insofar as known to its directors, is interested directly or indirectly in 5% or more of its capital, together with the amount, expressed as a percentage, of each such person’s interest;
Financial information concerning the company’s assets and liabilities, financial position and profits and losses;
Third party information and statement by experts and declarations of any interest;
Information concerning the securities to be offered/admitted to trading;
An indication as to whether the securities offered are or will be the object of an application for admission to trading.
