BUSINESS MAVERICK: Listings that keep investors in the loop, and (potentially) the JSE out of it

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BUSINESS MAVERICK: Listings that keep investors in the loop, and (potentially) the JSE out of it By Ruan Jooste

Inward listings are unique to countries like South Africa with exchange controls in place. Until recently they were unique to the JSE as well, but that is no longer the case.

Such cross-border secondary listings refer to companies with dual equity floats on two separate exchanges in two countries. From a South African Reserve Bank policy perspective, inward listings are encouraged as they enhance the retention of local investor capital, while at the same time encouraging foreign investment and capital inflows into the country.

The exchange is in talks with both a Canadian and a European-based organisation for potential inward listings in the upcoming 12 months. Additionally, it has entered into a strategic partnership with the St Felix Sugar Estate which owns approximately 3,200 hectares of land in the south of the island, providing it with ample scope for expansion. Sugar farmers have been abandoning the crop in droves as sugar prices have made the practice unsustainable.

 

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