The International Securities Market (ISM) was created to accommodate the needs of a wide range of international companies. Specifically, the ISM will provide:
- Access to capital for earlier stage companies and smaller financings
- Quality corporate governance for investors
- One-to-one mentorship – listing sponsors offer fair and impartial advice on the listing process and accompanying requirements
- Cost leadership – A low fee structure, relative to competing jurisdictions, keeps the focus on value creation instead of budgeting.
An ISM listing offers a number of benefits to prospective issuers:
- Access to capital & future financing
- Increased visibility and profile with clients
- Increased credibility with financial institutions, family offices and international investors – publicly traded companies enjoy Common Reporting Standards (“CRS”) and FATCA exemptions
- No company registration requirement – only securities must be registered
- No exchange control restrictions
- Potential to graduate to a listing with a major global exchange
Prospective issuers must appoint a Listing Sponsor in order to list securities on the ISM*. Listing Sponsors conduct the requisite due diligence to ensure that your business is ready for a listing on the market.
The due diligence requirement is in place to satisfy 3 different groups:
- Stock Exchange: The Barbados Stock Exchange (BSE) intends to conduct high-quality business with market actors. The due diligence process is a preventative measure – it ensures the ISM is inaccessible to criminal or other nefarious organizations.
- Issuers: A thorough due diligence process ensures the Issuer has the requisite qualifications for a listing. It will also assist the management and directors of the Issuer to understand the nature of the listing and the accompanying responsibilities.
- Investors: By completing the necessary steps to list on the Exchange, an issuer can firmly demonstrate its commitment to transparency and good governance – a sign to investors the world-over that they can transact in good faith on the ISM.
All Issuers are regulated by the ISM’s General Listing Requirements (Rule 4400) and Continued Listing Requirements (Rule 5000).
Prospective Issuers of securities on the ISM should consult the following from the “Definitive Guide to Being an Issuer on the International Securities Market” guide on the listing process:
Applicants seeking listing approval must complete one or more of the following forms:
- Appendix 4 B: Application for Listing Form – Equities Securities
- Appendix 4 C: Application for Listing Form – Investment Funds
- Appendix 4 D: Application for Listing Form – Debt Securities
The following declaration forms are required by all Issuers of securities on the ISM:
- Appendix 4 E: Issuer’s Declaration Form
- Appendix 4 F: Director’s Personal Declaration Form
- Appendix 4 H: Listing Agreement
These forms can also be found in the Appendices of the Definitive Guide to Being an Issuer on the International Securities Market.
The ISM’s Executive Committee is committed to reviewing all Listing Application Forms within 2 weeks of submission.
- The ISM Executive Committee will approve/reject the listing application pending the FSC’s decision on the Registration of Securities. The FSC will issue a decision within 30 days of your submission.
Once approved by the FSC, the ISM Executive Committee will issue a “New Issuer” Press Release to the market.
For more information, please consult the following:
- Document Checklist – Primary & Secondary Listings
- The Ideal Listing Candidate & Listing Methods
- ISM Listing Sponsor Contact Brochure