07-04-2021
The Qatar Stock Exchange announced that it has decided to accept the shares of "Al-Faleh Educational Holding Company" for trading in the market as of Tuesday, April 13, 2021, after completing all the necessary technical and administrative procedures, to become the first company to be listed on the QSE Venture Market.
The stock exchange has clarified that the shares of Al-Faleh Company will be traded in the same way as the shares of companies listed in the main market in terms of types of orders, corporate procedures, settlement and clearing arrangements, and the pricing of its shares will be exactly the same as the pricing of the shares of companies listed in the main market. Investors do not need to obtain new investor number to trade in Al Faleh shares since no new investor numbers are required to be issued for the investors who have already existing numbers. Orders are issued and executed in this market through licensed brokers. The shares of “Al-Faleh Educational Company” will be listed with the symbol FALH, and the company's share price will be floated on the first listing day While starting from the second day, the price will fluctuate by 10% up and down, and the founders ’data will be available to the brokerage firms as of Sunday 11/04/2021 in preparation for trading their shares and to receive buy and sell orders, noting that the company's shares will be directly listed in the second market.
In addition, there will be no change in the date of the trading session on the listing day, as brokerage firms will be allowed to enter buy and sell orders on the company's shares for the pre-open period, as is usually the case at 9:00 in the morning.
The second market will also follow the Venture Market in the Qatar Stock Exchange with the same continuous trading mechanism as is the case in the main market, and the auction units for shares traded in this market will be the same as in the main market, and the prices are broadcast in the venture market through its own independent trading screen. The follow-up of trades in the emerging market and the news of the companies listed therein is also done through the website of the Qatar Stock Exchange, and data on trading volumes and other data related to the market are published daily on the website of the Qatar Stock Exchange.
Mr. Rashid bin Ali Al-Mansoori, CEO of the Qatar Stock Exchange, praised the launch of the second market, the venture market in the Qatar Stock Exchange, as an important and pivotal event that emphasizes the development of the Qatari market and adds to its previous successes as one of the most important leading markets in the region. Considering that the launch of the new market represents a complementary vision to the main market because it provides an alternative mechanism that enables promising companies, whether small, medium or those that do not fulfill the conditions for listing in the main market, to access the market and the necessary financing.
Mr. Al-Mansoori said: “The launch of the new market comes within the framework of the Bourse’s vision and strategy aimed at diversifying options and investment products available to individual and institutional investors. He stresses the QE pioneering role in providing financing and expansion opportunities for leading and promising Qatari companies, in a manner that serves the achievement of the strategic objectives of the Qatar National Vision 2030 and support the country's economic diversification efforts”.
Al-Mansoori explained that the venture market provides promising companies with many advantages as it allows them to diversify financing options through access to the capital market, improving the company's position, branding and fair evaluation of its shares, in addition to providing liquidity to shareholders, the founding family and minority shareholders.
He added: “The venture market is characterized by that the requirements for listing in it are easy and suitable for promising companies that have fewer accumulated resources and experiences and limited and relatively recent performance records compared to those listed in the main market. Especially since the requirements of investor relations and corporate governance requirements needed in this market are easy and more flexible compared to those in the primary market, while maintaining the minimum disclosure requirements set by the organized financial markets worldwide”.
For his part, Mr. Abdulaziz Nasser Al-Emadi, Director of the Listing Department at the Qatar Stock Exchange, welcomed the listing of the Al-Faleh Educational Company and the launch of the venture market, expressing his confidence that a number of other companies will join it during the coming period. He explained that it is a condition for companies to join this market that their issued capital should not be less than 2 million riyals and that the number of its shareholders should not be less than 20 when applying for listing, who own not less than 10% of its capital.
Al-Emadi added that the launch of the new market is the result of the strategic initiatives and intense efforts made by the Stock Exchange over the past years to develop the Qatari market, in addition to continuous communication with the business sector in the country with the aim of identifying its needs and providing services and incentives to transform and be listed in the market.
In a related context, it should be noted that Al-Faleh Educational Company was established on May 1, 2015, with authorized capital and source of QR 240 million, as a public shareholding company under incorporation, which is 100% fully paid. Note that the most important objective of Al-Faleh Educational Company is to provide educational services that apply international standards across all educational levels, from kindergarten to higher education.
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