BSE SME exchange to kick off after Diwali

Confirming the same, the CEO, BSE-SME Exchange, Lakshman Gugulothu said, “Around 50-60 companies in the SME segment is ready to get listed in the new SME platform. We are able to convince lots of companies. Hopefully after Diwali, we will be launching the SME stock exchange, ( i.e anytime in November).”

“SMEs are not aware of the capital market issues. So far, they were aware of debt option, collateral, etc., they never had the opportunity to get access to the equity capital. This is the first time with the launch of the SME exchange they are going to have this opportunity of raising the equity capital. ” he told SME Times in the sidelines of a seminar on "Raising of equity capital and listing of SMEs on BSE-SME exchange in New Delhi on Tuesday.

“SME exchange will be an integrated exchange with the main exchange based on sharing infrastructure...” Gugulothu also added.

Access to potential finance has been severe disadvantage for the SME sector in India. Although the government has initiated several measures to provide easy access to finance, still SMEs are not able to get adequate credit from banks. So in this situation, the new SME exchange will be a facilitator in raising funds.