Trop-X welcomes first locally owned firm as sponsor advisors |29 July 2014

Trop-X, the Seychelles Securities Exchange, admitted ACM and Associates to the list of approved sponsor advisors last week.

Chief executive of Trop-X, Bobby Brantley, explained that the role of a sponsor advisor is essential in the Trop-X model.  

“Sponsor advisors provide a value-added service to listing applicants and thereafter on an on-going basis to ensure that they meet the initial listing requirements and ongoing listing requirement of Trop-X.  They act as a conduit between the company and Trop-X, their primary responsibility being to ensure the integrity of the market,” said Mr Brantley.

He went on to say that “Trop-X has admitted several new sponsor advisors this year from various regions such as Mauritius, Paris and South Africa but ACM is the first 100% Seychellois owned and controlled firm to join the exchange.”

“I am very proud to announce our approval as a Trop-X sponsor advisor,” said Jean-Marie Moutia, ACM’s managing director.
 
“This role will be a value-added addition to our one-stop business shop that already includes audit, accounting, tax, corporate services and consultancy. Since 1999, our firm has provided the highest level of service to the Seychelles business community while developing our domestic workforce. This new service line will enhance our current portfolio of services, by offering domestic (as well as foreign) companies, with the support to list their shares on Trop-X,” said Mr Moutia.

When asked whether he sees a benefit for local companies to list on the exchange, Mr Moutia responded: “The benefits to a Seychelles-listed company are numerous. Among others, a listing provides greater access to capital, accurate valuation of the company on an ongoing basis, enhanced market value, better corporate governance and controls and Seychelles tax benefits.”

The model adopted by Trop-X is widely and successfully implemented in markets such as the AIM of the London Stock Exchange, the Johannesburg Stock Exchange and the Channel Island Stock Exchange to name a few. The model has several benefits in making the process of listing easier by having a person who is intimately familiar with the requirements and procedures.  Sponsors also advise companies and ease them in meeting ongoing obligations, and importantly sponsors also have a commitment to ensure the integrity of the market by helping to ensure that market information is disseminated in a timely manner.

“In our role as sponsor advisor we can now apply our expertise to provide education to local companies about the securities exchange, guide them through the listing process and stand by them as a listed company to ensure ongoing compliance,” said Spencer Price, ACM’s compliance officer.

The Trop-X team is currently meeting Seychelles financial services practitioners to present opportunities for local firms to take part with the exchange in various capacities and hopes to see more applications from local firms coming soon.
 
“We believe that the exchange is a positive development for Seychelles and can greatly contribute to driving the development of the financial services industry and the country as a whole to greater heights,” noted Mr Brantley.

He added: “Trop-X’s recent acceptance to the World Federation of Exchanges as a correspondent member is evidence that we are on the right track, but to achieve the desired results we need to deepen the collaboration and support of all stakeholders.”