Ann: GENERAL: NZX: FMA approves NXT market registration and listing rules

• Release Date: 29/09/14 15:46
• Summary: GENERAL: NZX: FMA approves NXT market registration and listing rules
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					NZX
29/09/2014 15:46
GENERAL

REL: 1546 HRS NZX Limited

GENERAL: NZX: FMA approves NXT market registration and listing rules

29 September 2014

FMA approves NXT market registration and listing rules

NZX is pleased to announce that the Financial Markets Authority has approved
the registration and rules for NXT, a new NZX market designed for small and
mid-sized businesses.

The NXT Market Rules will be available at
www.nxt.co.nz/pages/market_integrity from 30 September 2014.  Changes to the
NZX Participant Rules for the NXT Market will also be available at
www.nzx.com/market-regulation/rules/nzx-participant-rules

The approval is another significant milestone in NZX's progress towards the
launch of NXT, and provides potential NXT listed companies with certainty on
the listing requirements.

The timing of NXT's launch will depend on companies being ready to list. NZX
currently expects this to be Q4 2014.

Interested investors can register to receive updates by visiting
www.nxt.co.nz and will soon be able to register for a NZX Reference Number.
The NZX Reference Number demonstrates that an investor has received and
understood a market warning, highlighting differences between NXT and the NZX
Main Board.

NXT will have a new disclosure regime that will be simpler for companies and
investors. In addition to regular financial reporting, a key feature of
disclosure on the NXT market will be quarterly reporting of the underlying
drivers of business performance in the form of Key Operating Milestones
(KOMs).

Underpinning the market's design is the new regulatory regime in place in New
Zealand, the Financial Markets Conduct Act, which provides the flexibility to
develop new markets for different types of companies and groups of investors.

Other points:

- NZX will appoint a market maker and research provider for NXT which will
aid liquidity, as well as provide independent analysis to investors on NXT
companies.  It is a condition of FMA's approval that NZX demonstrate to FMA's
satisfaction that the arrangements for market making and research are
adequate

- NZX intends to continue to support companies that are listed on the NZAX
market for the foreseeable future. NZX is no longer accepting new
applications for listings on the NZAX and will instead encourage companies to
either list on NXT or the Main Board, as appropriate

Key features of NXT:

- A market aimed at small to mid-sized businesses with an expected market cap
of $10-$100 million
- Reduced costs and complexity, during both the listing process and ongoing
- More support for companies listed on the market
- A streamlined regulatory environment, with a set of simpler, template based
rules and procedures
- The presence of market making and research to aid efficiency and liquidity
- More information on companies for investors through quarterly updates,
research coverage and reporting by companies of key operating milestones

For more information please contact:
Bevan Miller
Chief Financial Officer
M: 021 276 7359
E: [email protected]
End CA:00255821 For:NZX    Type:GENERAL    Time:2014-09-29 15:46:55