PLUS Markets – watch out, there’s a competitor about!

Over the last three weeks Enterprise Britain has suggested a number of innovations which might restore the fortunes of PLUS Markets Group Plc.

The other way is competition – and it has arrived.

Welcome GXG Markets UK (“GXG”)

Describing themselves as “global market solutions for the SME sector” GXG, which has been operating dedicated SME markets for over 10 years, offers:

  • a regulated market where fund-raisings require a prospectus
  • a multilateral trading facility (“MTF”) which does not require a prospectus or the adherence to IFRS accounting standards
  • an Over-The-Counter (“OTC”) market. Investors will need to be professional and/or sophisticated and/or high net worth individuals.

Full details are available on www.gxgmarkets.co.uk and a brochure can be obtained by emailing info@gxgmarkets.co.uk.

GXG operates in Sweden, Denmark and London and is authorised and regulated under EU legislation. UK investors receive the same protections as with any other regulated market.

GXG is developing its business through a network of FSA regulated corporate advisers, brokers and Business Angel Networks.

So PLUS, time to regroup and strategise. The managing director Simon Kiero-Watson and his team are streetwise and passionate so you now have a direct competitor.

Almost certainly their trump card will be the OTC market. As the UK emerges cyclically from recession this early stage equity facility could prove to be a winner.

May the best team win or better still, may they both become successful.

 

 

 

 

 

1 comment for “PLUS Markets – watch out, there’s a competitor about!

  1. Barry Hocken
    23 November, 2011 at 12:25

    Over the past 25 years or so capital markets in the UK have worked reasonable well with three separate markets. The configuration of PLUS, AIM and the Official List has been dominant for quite some time but is now breaking up mainly due to PLUS which has pursued a strategy of moving ever closer to AIM. It was all very well PLUS becoming an RIE but in doing so it has become an imitation of AIM without any of the benefits. PLUS has not done itself any good by pursuing an alternative trading venue for LSE stocks, its foray into derivatives will also probably fail, and its primary market continues to be shunned by institutional investors. The result is now manifesting itself in the shape of shareholder unrest and damning articles in the financial press.
    The lack of clear water between PLUS and AIM is allowing a market like GXG to come in and attract the sort of companies which would naturally have gone to PLUS, but are put off by the high fees PLUS charges, and a market making system which no longer works efficiently.
    A fourth regulated market in the UK is, in my view, one too many – something will have to give …..

Please leave a comment - we all like them