Panchkula, Haryana: The National Stock Exchange (NSE) and the Government of Haryana have signed a Memorandum of Understanding (MoU) to spread awareness about fundraising via the IPO mechanism by Micro Small and Medium Enterprises (MSMEs) in the state. This outreach is aimed at busting myths about fundraising and listing for such companies, while opening the doors to offer them new fundraising and networking opportunities.
The MoU was signed between Mr Krishnan Iyer, Senior Vice President, NSE and Mr Dheeraj Chahal, Joint Director, Directorate of MSME, Government of Haryana at Panchkula. As part of this MoU, the NSE will conduct seminars, road shows, knowledge sharing sessions and workshops to guide corporates to raise funds on the NSE Emerge platform.
In a press release, Mr Dheeraj Chahal said: “Under the leadership of Honorable Chief Minister of Haryana, Shri Nayab Singh Saini and under the guidance of Minister of Industries, Govt of Haryana, Shri Rao Narbir Singh, we have been striving to provide a conducive ecosystem for the MSMEs of our state to further grow their businesses and create attractive business model which attracts investment opportunities globally. Today, a step to propel this growth story, we have signed a MOU with the National Stock Exchange to encourage MSMEs from the state of Haryana to tap capital markets via the NSE Emerge platform and raise funds via IPO. NSE Emerge as a platform provides an alternate source of investment raising opportunity for growing SMEs. 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 Haryana 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.”
Mr Sriram Krishnan added: “ NSE Emerge enables SMEs to raise capital in an efficient manner and increase their visibility through listing on the stock exchange. We shall organize awareness sessions for MSMEs of the state in collaboration with the Government and provide a walk-through of the fund-raising process. We urge the MSMEs in the state to come forward and avail the new source of financing through NSE Emerge.”
Established in 2012, the NSE Emerge platform has helped MSMEs raise more than Rs.18,600 for more than 655 companies across the country. The platform has helped these MSMEs raise their market share and get better visibility in the national and international markets. Despite regulatory challenges and red tape, such initiatives are expected to help these businesses raise funds, given that they employ almost 250 million people and account for almost 30% of India’s GDP.
