NSE signs MoU with Uttar Pradesh government to help MSMEs with IPOs

NSE

The National Stock Exchange has signed a memorandum of understanding (MoU) with the Uttar Pradesh government to spread awareness among MSMEs to raise funds through public offers, the exchange said on April 17.

The MoU was exchanged between Uttar Pradesh Small Industries Corporation (UPSIC) managing director Raj Kamal and NSE senior manager Nidhi Maheshwari in Lucknow.

As part of the MoU, NSE will support the UP government to conduct awareness drive through seminars, MSME camps, knowledge sessions, road shows and workshops to guide businesses to raise funds by launching SME IPOs on the NSE Emerge platform, the Mumbai-based exchange said.

It will "handhold companies" in the listing process, it said.

NSE Emerge is a platform for the small and medium enterprises (SMEs) offering them an opportunity to list and raise capital and also gain visibility.

The government has been striving to provide a conducive ecosystem for the MSMEs to grow their businesses, Kamal said.

"NSE Emerge platform provides MSMEs to access public capital along with an opportunity for enhanced visibility and credibility. As a part of the MOU, government of Uttar Pradesh and NSE shall jointly conduct awareness sessions and campaigns amongst the MSMEs to better understand the process of listing on the stock exchange and its related benefits," he said.

Also read: Our LIVE blog on stock market updates

NSE chief business development officer Sriram Krishnan said the NSE Emerge platform enables SMEs to raise capital in an efficient manner and increase their visibility through listing on the stock exchange… We urge the MSMEs in the state to come forward and avail the new source of financing through NSE Emerge."

As many as 612 companies from different sectors have listed on the NSE Emerge platform, so far, and collectively raised more than Rs 17,003 crore, the NSE release said.

The market capitalisation of these companies stands at around Rs 1,76,565 crore.