Equities
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STRUCTURE ORGANISATION AND OPERATION
OF THE SPANISH SECURITIES MARKET
While the listing of these companies on the mar-
ket has been important, the capital increases that some
of these companies have performed have been equally
noteworthy. Five of the 21 companies performed eight
capital increases in 2011 and 2012 for a total of €19
million: €8 million in 2011 and €11 million in 2012.
Companies in expansion have large financing
requirements, and need to realise the value of their
business and improve their competitiveness with all
the tools the market puts at their disposal. These cir-
cumstances, together with the recent success of other
specific markets for companies in expansion in other
countries, have boostedthis market created by Bolsas y
MercadosEspañoles (BME).
The key to the success of these markets has, to a
large extent, been their ability to provide information of
a quality required by investors, through a flexible for-
mat which is adapted to the needs of such companies.
In order to do this, a new party has been introduced,
which MAB calls the “registered advisor”, whose role
is to help the companies to meet the information requi-
rements for beginning and maintaining their listing in
this market. The Registry of Advisors was inaugurated
in June 2008 with 14 very different institutions ranging
from broker-dealers, auditing and consulting compa-
nies to independent financial advice firms. At the be-
ginning of 2010, 24 were registered. Four new entities
were registered in 2010, taking the total number of re-
gistered advisors to 28 at the end of 2010. This figure
rose to 30 in 2012.
The market also has “liquidity providers” (brokers
selected by the listed companies) who help to find the
counterparty so that share price setting is the most effi-
cient possible, while also facilitating liquidity.
The appropriate balance between transparency
and flexibility, combined with an attractive trading en-
vironment for potential investors, can give companies
the significant advantages that come with being quo-
ted in a market. Furthermore, listing also represents a
permanent commitment to shareholders and requires
discipline which transforms the company’s every day
operations.
Companies quoted on the MAB gain renown and
prestige, access to capital for new projects, and an ob-
jective valuation; and are able to increase their share-
holder base. The exit of current partners is facilitated
and the liquidity of their shares boosted. Furthermore,
the MAB acts as a learning curve for some companies
and a bridge for their subsequent entry into the traditio-
nal stock market.
In short, the MAB is an alternative source of finan-
cing for Spanish companies and widens the range of
investment for savers and the possibilities of portfolio
diversification, particularly institutional investors.
Dissemination of the market begun in 2008 has
continued over the years, both among companies as
well as potential investors.
MAB FOR VENTURE CAPITAL FIRMS
The MAB’s scope was extended during 2007 to
securities other than the SICAV: venture capital firms
(VCFs) that because of their special features also require
different treatment.
In order to increase the base of investors with ac-
cess to these firms, on May 22, 2007 the Board of MAB
approved the creation of a new segment for the quota-
tion of VCFs and funds. BBVA Capital Privado, mana-
ged by BBVA Gestión, inaugurated this second segment
on June 27.
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