Fundraising for SMEs: National Stock Exchange inks MoU with state government

The National Stock Exchange (NSE) and the West Bengal government have signed a Memorandum of Understanding (MoU) to spread awareness amongst MSMEs of the state regarding fundraising via IPO mechanism using ‘NSE Emerge’ which is the Small Medium Enterprise (SME) platform of NSE.

As part of the understanding, NSE with the support of the state government shall conduct awareness drives through seminars, MSME camps, knowledge sessions, roadshows, workshops to guide corporates across the state for fund raising on the ‘NSE Emerge’ platform and handhold companies in the listing process.

Rajesh Pandey, principal secretary, MSME & Textiles department said “Under the leadership of chief minister Mamata Banerjee, we have been working tirelessly to grow and facilitate the MSME sector. Today at ‘Bengal Global Business Summit’, we have signed a MoU with the National Stock Exchange to encourage and support the MSMEs of our state to pursue the capital market for growth opportunities. Listing on the capital market shall help them raise capital to fuel their growth story. This shall provide an opportunity to showcase their business to a larger set of investors through NSE Emerge platform. As a part of the MOU, we shall facilitate and jointly conduct awareness sessions for the MSMEs to help them understand the process of fundraising and the benefits of listing on the stock exchange.”

Sriram Krishnan, chief business development officer, NSE said: “NSE Emerge enables SMEs to raise capital in an efficient manner and increase their visibility through the 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.”

NSE’s SME Emerge platform currently has 396 companies from various sectors listed. Total funds raised on the platform till date is over Rs. 7800 cr. The market capitalisation of these companies has crossed Rs 94,000 cr. The platform has 16 companies listed from West Bengal on the SME Emerge platform and has collectively raised Rs 224.43 crore.