Johannesburg Stock Exchange looks to list more resource companies
The Johannesburg Stock Exchange (JSE) added 16 new resources companies over the past 5 years despite a tough listing environment. John Burke, the JSE Director of the Issuer Regulation Division, feels that the JSE is an attractive listing destination for African mining assets, and that now is a prime time for expansion.
Johannesburg Stock Exchange pursues additional mining listings
Monday, 4 January 2013: The Johannesburg Stock Exchange (JSE) believes that its well-regarded equity market, world class regulatory environment and active global investor base make it an attractive listing destination for African mining assets. Despite the tough listing environment in SA and worldwide, 16 resource companies excluding reverse listings joined the JSE in the last 5 years. In total, 69 resource companies are listed on the exchange making up 25% of the exchange’s market capitalisation.
John Burke, Director of the Issuer Regulation Division at the JSE, says the exchange is pursuing resource listings. “Johannesburg started as a mining town and owing to the number of resource assets in South and Southern Africa, investors on this market understand investing in mining. Mining is in our DNA. South African investors have a deep understanding of resource companies and an appetite for investing in them. Where there are known assets and management, you will find a willing buyer.”
Business Development Manager at the JSE, Patrycja Kula, says despite the challenging economic environment worldwide, companies are able to raise capital on the JSE. “The message that the JSE shares with companies with African assets is that there is capital in South Africa. The JSE provides an enabling environment in which South Africans and Africans can benefit from their resources. ”
Kula says capital raising is made easier by the number of global investors who use the JSE to gain exposure to the African continent. “Foreign investors are able to enter and exit the market with ease, as well as to remit funds.”
For further information, contact Michelle K Blumenau, 011 728 5004 / 083 273 9891 / [email protected]