Bursa Malaysia Berhad (Bursa Malaysia) is the regulating authority and operator of the only stock exchange in Malaysia. Previously known as the Kuala Lumpur Stock Exchange, Bursa Malaysia offers an array of exchange-related services in Malaysia. If you want to list your company on the Malaysia stock exchange, this guide will show you just what you need to do.
Before you can be listed on the Malaysia stock exchange, your business must first be registered with the Companies Commission of Malaysia (SSM). Once your business is trading on the stock exchange, it is officially considered a listed company in Malaysia.
What Does It Mean to Have My Business Listed on the Stock Exchange?
By listing your company on the stock exchange, you are in effect allowing the shares of your company to be publicly traded. Which means that these shares can be bought or sold by any investor, including the existing shareholders of the company.
Listing your company on the stock exchange means being able to see just what the known market value of the company is. Each share will have a value or reference price which comes with it, and by creating a public market for your shares, you can unlock the value of your company.
Why List Your Company on the Malaysia Stock Exchange?
For a company in Malaysia, having a successful IPO (initial public offering) and being listed on the stock exchange can be a very important step towards meeting its long-term business goals and aspirations for success.
The reasons for any company or business in Malaysia to list on the stock exchange will vary according to the company’s goals. Among some of the most common reasons a company chooses to list itself on the stock exchange include:
- To raise more capital for better growth opportunities
- Enhancing the profile and credibility of the company
- Encouraging and rewarding local employees through the employee equity scheme
- Allowing current shareholders of the company to realise their investments
- To facilitate growth
- To widen the shareholder or investor base
No matter what your reason may be, listing on the Malaysia stock exchange (or any stock exchange for that matter) marks a very significant milestone in your entrepreneurship journey so far.
When making the decision whether your business in Malaysia should be listed on the stock exchange, there are two very important questions that you need to ask yourself:
- What is the benefit of listing your company?
- Is your company suitable for the stock exchange?