Two cos to migrate to BSE's mainboard from SME platform

Two firms -- Comfort Commotrade and Looks Health Services migrated to BSE's mainboard from the stock exchange's Small and Medium Enterprise (SME) platform today. This will take the total number of companies migrating to mainboard platform to 18. In separate circulars, the exchange said effective from Thursday, April 28, the equity shares of Looks Health Services Ltd and Comfort Commotrade, which are already listed under BSE SME Platform, will now be migrated and admitted to dealings on the mainboard platform in the list of B Group.

As per norms, the companies have to be mandatorily listed and traded on the SME platform for a minimum period of two years and only after that they can migrate on to the main board, as per the guidelines specified by market regulator Sebi. Firms that have completed two years on the SME platform and achieved a post-issue paid-up capital of at least Rs 10 crore are eligible for migration. In case, the paid-up capital exceeds Rs 25 crore threshold, it is required to migrate to the main board.

Since the launch of the platform in 2012, as many as 135 SMEs have been listed. Of these, 16 have already migrated to the main board and the remaining are trading on SME segment. BSE SME helps such firms raise equity capital for their growth and expansion and in due time enables them to migrate into the main board of the stock exchange as per the existing rules and regulations.

At present, the market capitalisation of companies listed on BSE SME is over Rs 6,931 crore.