Saudi Arabia prepares to launch parallel market ‘Nomu’

Tadawul is lauching the ‘Nomu-Parallel Market’ on Sunday with lighter listing rules. (AP)

The Saudi Stock Exchange (Tadawul) is to launch on Sunday the ‘Nomu-Parallel Market’, listing nine Saudi companies out 77 which applied to be listed on the index designed to buttress and further increase growth and business development of the financial market.

Nomu-Parallel Market is an alternative equity market with lighter listing requirements compared to the main market.

This will serve as an alternative platform for companies to go public, and the investment in this market will be restricted to qualified investors.

The main objective of setting up Nomu was as an additional source of funding for issuers to access capital, and increased diversification and deepening of the capital market.

Another characteristic feature of Nomu is the possibility of transition to the main market after new filing process with the Capital Market Authority (CMA).

Launch ceremony 

A number of officials from the government the Stock Exchange, beside representatives of the listed company will participate in discussion panels to be held at the launching ceremony on Sunday.

Khalid Abdullah al-Hossan, the Chief Executive of Tadawaul, pointed out to the Stock Market’s distinction and competence to set up the launch of ‘Nomu-Parallel Market’ based on highly developed infrastructure, adopting, at the same time, state of-the-art systems that will allow assembling a robust market with great expertise to aptly accommodate stages of the market expansion in the future.

Al Hossan asserted that ‘Nomu-parallel Market’, which was launched in a record time, according to him, is considered as a bedrock base to construct a developed and well-advanced Saudi stock market open to the world, in alignment with the objectives of the 2030 Vision.

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Last Update: Wednesday, 20 May 2020 KSA 09:53 - GMT 06:53
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