KUALA LUMPUR: Exchange Listing LLC, an advisory firm based in Florida in the United States, is eyeing opportunities to facilitate dual listings on the US capital market for Malaysian companies.
CEO and founder Peter Goldstein said the firm is in discussions with potential partners and investors to establish cooperation for dual listings.
“One of the things that we’re exploring is how to work with listed companies here for cross-listing or dual listing, so we don’t take them away from the local market. This is a very underserved area, we’re very interested in pursuing this,” Goldstein told SunBiz in an exclusive interview while he was in Kuala Lumpur for a visit recently.
He said dual listing offers companies greater visibility and access to a global investor base while still supporting their local markets. “As an example, the SGX (Singapore Exchange) has a relationship with Nasdaq because there’s less liquidity on the SGX, so they want the extra outside liquidity. Everyone wins in such collaborations.”
Goldstein said the US capital market provides transformational growth funding opportunities for companies at pivotal stages in their development.
“Rapidly growing companies often require additional capital to sustain and accelerate their growth. At these inflection points, where businesses have already proven their models and established a strong foundation, external resources become crucial to strengthening and extending their growth trajectory,” he explained.
He added, “Just as humans evolve, companies need the right support at the right stage.”
Goldstein stressed that capital is only one part of the equation. “Beyond capital, they seek guidance, expertise, and knowledge to navigate the next phase of their journey. This includes bringing in experienced advisors, directors, and other professionals to add value beyond funding.”
Goldstein said they are looking for companies with proven business models needing capital to sustain growth.
“Technology-related sectors hold great potential. Fintech is particularly interesting, and Malaysia has strong capabilities in areas like AI and data centres, which align with the global growth trends,” he said.
However, he added that industries with strong fundamentals – revenue growth, profitability and robust business metrics – are eligible for listing too.
Preparing companies for listing is a year-long process, focusing on financial metrics, governance and compliance. “But listing in the US boosts recognition, credibility, and governance standards, which are assets globally,” Goldstein said.
He shared that more than 60% of new listings in the US in 2024 were foreign companies, with the majority from Southeast Asia. He expects the trend to grow, particularly in Malaysia and the Asia-Pacific region, over the next three to five years.
Goldstein said that during his visit, he was meeting 10-15 CEOs of companies at varying development stages to discuss listing requirements and potential partnerships. “Transparency and education are key to ensuring companies are well-prepared for the process.”
He highlighted benefits for foreign private issuers in the US, such as less frequent financial reporting compared to domestic companies. This regulatory flexibility attracts foreign companies to US markets.
Micro-cap companies, with market capitalisations of US$50 million to US$300 million (RM223.7 million to RM1.3 billion), and small-cap companies, ranging from US$300 million to US$1 billion, can qualify for listing.
Key requirements include shareholder equity of at least US$5 million and a public float value exceeding US$15 million.
More than 20 Malaysian companies have listed as American Depositary Receipts on the US stock exchange and the over-the-counter (OTC) exchange. Among them are Boustead Holdings Bhd (OTCPink), Genting Bhd (OTCPink), Energem Corp (Nasdaq), Top Glove Corporation Bhd (OTCPink), Tenaga Nasional Bhd (OTCPink) and Malayan Banking Bhd (OTCPink).
In April 2020, AMTD International (now known as AMTD IDEA Group) was the first company to achieve dual listing, on the SGX and the New York Stock Exchange.
Source: The Sun Daily
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