UTC supports TTSE rule change to promote SME listing

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The Unit Trust Corporation fully supports the recent amendment by the Trinidad and Tobago Stock Exchange (TTSE) of the Special Market Listing requirement for Small and Medium Enterprises (SMEs). With the amendment being made to Rule 400(2)(g) in respect of the listing for SMEs, effective August 22nd, the public float requirement has been reduced from 30% to 20%.

By lowering the public float requirement, the amendment allows companies to retain a larger share of ownership, which can be crucial for driving growth and innovation. The small and medium enterprises (SMEs) in T&T, represent roughly 85 percent of all registered businesses locally. Consequently, the SME sector’s role in economic activity and contribution to T&T’s gross domestic product (GDP) cannot be overlooked. In addition, this significant change is a positive step in fostering a more conducive environment for SMEs to access capital markets.

UTC Executive Director, Nigel Edwards, said, “We commend the TTSE for implementing this forward-thinking change and look forward to companies leveraging the benefits it brings to the broader business community.”

“This adjustment aligns with UTC’s strategic objective of supporting the growth of Trinidad and Tobago’s entrepreneurial framework through its Scale up TT programme that is driving impressive growth across a diverse array of industries across TT’s economy. This change will further enhance the ability of companies to access capital and contribute to economic development.”

SMEs should consider the following steps to leverage this opportunity:

  • Understand the Changes: Familiarise yourself with the new regulations and ensure compliance.
  • Assess Capital Needs: Reevaluate your capital requirements and explore how the new float rule can support your growth.
  • Leverage Opportunities: Use the lower float requirement to raise capital while retaining more control of your business.

UTC see this change as an opportunity for SMEs to better position themselves for growth and capitalize on the benefits of the new regulations.