New Zealand’s NZX Partners With Nasdaq

“NZX Ltd (NZX.NZ) has signed a deal with U.S. exchange Nasdaq Inc (NDAQ.O) to explore opportunities in dual listings and depository receipts, as the New Zealand bourse looks to attract share sales by providing greater access to overseas markets,” writes Charlotte Greenfield in an article for Reuters.

“The deal comes at a time of weak liquidity in the Pacific nation’s exchange,” writes Greenfield.

“Certainly we’re thinking hard about our customers … we’re thinking hard about how we create more value for them and clearly we want to attract more activity to our market,” said NZX’s CEO Mark Petersen.

“We’ve got some real innovators in New Zealand. They might be in the tech sector – it could be biotech, it could be fintech, it could med tech. There’s a range that it could work for,” he told Reuters on Wednesday.

“New Zealand has a fast-growing tech scene and information technology is the country’s third-largest export sector, but industry members and analysts often complain of a dearth of local capital.”

“NZX has approved Nasdaq as a recognized stock exchange for equity listings, which enables issuers listed on the Nasdaq’s global select market to apply for a secondary NZX listing,” reports the article.

“Under this arrangement, issuers will need to comply with the primary rules of their home exchange, but are exempt from almost all NZX listing rules.”

Article Source: Reuters, Charlotte Greenfield, September 12, 2018

Image Source: Twitter – NZX Limited