FAQs2019-11-15T14:57:34+00:00

Here below we respond to the most frequently asked questions we get asked from entrepreneurs while analysing the Euronext alternative. ArmanexT´s work begins precisely here, helping to formulate the right questions for each project, and finding the most appropriate answers, with rigor, professionality and experience.

This list does not intend to be exhaustive, neither on the questions nor on the answers, it is rather a quick view on the different topics of interest on a first phase.

Pay attention when reading. In most cases, the known answers are biased as a result of past believes. The new scenario that is opening to your company with ArmanexT and Euronext is substantially different.

We are here you help you. Once read, feel free to contact us to recap these, or to discuss any concern you may have.

It is now time to break wrong myths regarding Stock Markets, and to prepare companies to a new growth and internationalization stage.

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Questions about…

What are the main differences between the different Euronext Markets?2019-12-04T04:09:12+00:00
EURONEXT ACCESS EURONEXT ACCESS + EURONEXT
GROWTH
EURONEXT (A/B/C)

INITIAL ADMISISON

Free-float Not applicable €1m €2.5m 25% or 5% if > €5m
Financial Statements Last 2 years Last 3 years
Intermediary Listing Sponsor Listing Agent
Document to be provided Information Document*
(or EU Prospectus in the case
of IPOs)
Information Document
or EU Prospectus
EU Prospectus
Differences between being listed on MAB and Euronext2019-12-04T04:07:39+00:00

LISTING REQUIREMENTS

MINIMUM MANDATORY REQUIREMENTS MAB EURONEXT
LEGAL DD X X
FINANCIAL DD X
ANNUAL AUDIT X X
ABBREVIATED ANNUAL ACCOUNTS X
COMFORT LETTER X
BUSINESS PLAN X X
ASSET VALUATION X X
COMPANY VALUATION X X
AGENT BANK X X
LIQUIDITY PROVIDER X
FREE-FLOAT (€2 MILLION, 20 MINORITY STAKEHOLDERS (Not applicable to kin) X
CASH DEPOSIT (€150k-€300k) X
SHARES DEPOSIT (€150k-€300k) X
TECHNICAL LISTING Not allowed X

.

MAINTENANCE REQUIREMENTS

MINIMUM MANDATORY REQUIREMENTS MAB EURONEXT
ABBREVIATED ANNUAL ACCOUNTS X
ANNUAL AUDIT X
LIQUIDITY PROVIDER X
ANNUAL ASSET VALUATION X
SEMI-ANNUAL LIMITED REVIEW AUDIT X
MAINTENANCE OF CASH DEPOSIT X
MAINTENANCE OF SHARES DEPOSIT X
CAPITAL RAISE. PRIVATE PLACEMENT (DAR, DAC) X
LOCK-UP THE BUYING AND SELLING OF SHARES FOR A PERIOD OF 1 YEAR X
What is the minimum number of shareholders needed to be listed and traded?2019-11-11T11:10:09+00:00

The different Euronext markets are adapted to welcome from Sociedades Anónimas Unipersonales (single-member corporations), to family-owned businesses, companies with a reduced number of shareholders that do not wish to initially change their shareholding structure (Technical Listing) or the contrary, those companies that seek to raise capital through an IPO.

What is the Technical Listing?2019-12-04T03:12:40+00:00

It is an alternative offered to companies in order for them to list their shares on a Stock Market with the particularity that no shares have to change hands. This contrasts with IPOs, where coinciding with the listing, there is buy and sale share transactions.

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Do I need to change my tax residency?2019-11-19T17:44:18+00:00

No, it is not necessary to change the registered office nor the fiscal residency. The company will remain paying its taxes in Spain.

What requirements does the company have to meet to be admitted to trading?2019-12-04T04:10:50+00:00
EURONEXT ACCESS EURONEXT ACCESS + EURONEXT
GROWTH
EURONEXT (A/B/C)

INITIAL ADMISISON

Free-float Not applicable €1m €2.5m 25% or 5% if > €5m
Financial Statements Last 2 years Last 3 years
Intermediary Listing Sponsor Listing Agent
Document to be provided Information Document*
(or EU Prospectus in the case
of IPOs)
Information Document
or EU Prospectus
EU Prospectus
Can a company with no shareholders be listed and traded?2019-11-11T11:10:43+00:00

The different Euronext markets are adapted to welcome from Sociedades Anónimas Unipersonales (single-member corporations), to family-owned businesses, companies with a reduced number of shareholders that do not wish to initially change their shareholding structure (Technical Listing) or the contrary, those companies that seek to raise capital through an IPO.

Where do Spanish companies listed on any of the Euronext Markets pay their taxes?2019-12-04T03:15:24+00:00

In Spain. Registered office and fiscal residency should not be confused with the market where the shares are listed.

Who supervises me?2019-11-11T11:22:11+00:00

There exists a dual supervision, on one side, that of the regulator where the company is listed and traded and on the other, that of the Spanish Regulatory body (CNMV). In both cases, ArmanexT´s work as Listing Sponsor consists on the supervision, coordination and assistance to the company so all established requirements are met in good time and appropriate manner.

What requirements does the company have to meet in order to be listed?2019-12-04T04:13:13+00:00
EURONEXT ACCESS EURONEXT ACCESS + EURONEXT GROWTH EURONEXT (A/B/C)

PERMANENT REQUIREMENTS

Informes financieros anuales Yes Informe anual auditado
Informes financieros semestrales No requerido Informe anual no auditado Informe semestral auditado
Información confidencial que afecte al precio, lista de personas con información privilegiada, encuesta de mercado Aplicable (Directiva Abuso de Mercado)
Declaracion de transacciones Aplicable (Directiva Abuso de Mercado)
Declaraciones de incumplimiento de umbrales (Detención de capital. ejemplo: derecho a voto) No Aplicable Aplicable
No-lavado de dinero Aplicable
website Yes
Do my company shares have to be traded every day?2019-11-11T11:29:30+00:00

No, Euronext does not demand a company’s shares to be traded a minimum number of days.

Can a Private Equity Fund invest in a listed company?2019-12-04T03:16:20+00:00

Yes, Private Equity Funds are authorized to invest in companies listed on Multilateral Trading Facilities and maintain their investments without time restrictions.

What should the minimum size/valuation of a company be to be listed?2019-11-11T11:32:56+00:00

There is not a minimum size requirement to be met in order to be listed. Access to this market should be considered as a step prior to companies´ expected growth and future needs.

What is Euronext?2019-12-04T03:14:16+00:00

Euronext is the main Stock Market in Europe, and brings together the Stock Exchanges of France, Belgium, the Netherlands, Portugal, Ireland, Norway and a Derivatives Exchange in the United Kingdom.

On Euronext, there are close to 1,500 listed companies from around the world and over 5,000 active investors analysing them. Euronext offers the possibility of being listed on one of its four markets depending on the company´s size, liquidity and expectations.

Euronext has four markets, each of them with a particular focus and admission criteria that allows companies to meet their needs and expectations.

  • Euronext Access
  • Euronext Access +
  • Euronext Growth
  • Euronext A/B/C
What is a Multilateral Trading Facility (MTF)?2019-11-11T10:51:03+00:00

Also known as Alternative Stock Market, a MTF is a Stock Exchange generally oriented to small and medium-sized companies that seek to expand. MTF have a regulation designed specifically for them, and costs as well as listing processes adapted to their characteristics.

What is a Market for growing SMEs?2019-11-11T10:59:05+00:00

They are newly created markets, promoted by the European Union in its pursuit to bring the Stock Markets closer to European SMEs. They have simplified admission and permanence processes oriented to small and medium-sized enterprises that are homogeneous across all member estates with the objective of facilitating the access to new sources of financing, either with equity or bonds.

In order to be listed and traded on Euronext, Is there a minimum requirement regarding revenue, EBITDA or profit?2019-11-11T11:08:42+00:00

No, the different Euronext markets are designed precisely to welcome companies such as Biotech, Start-ups and highly technological firms that do not yet have revenue, EBITDA or profit.

Can SOCIMI be listed on Euronext?2019-11-15T15:04:19+00:00

Yes, article 4 of the LEY 11/2009, 26/10 Sociedades Anónimas Cotizadas de Inversión en el Mercado Inmobiliario establishes that “SOCIMI shares shall be admitted to trading on a regulated market or on a Spanish Multilateral Trading Facility or on any other European member state…”

How can I operate on Euronext?2019-11-11T11:13:00+00:00

Through any market operator that has the stock registered on its system.

Can anyone buy shares of my company?2019-11-11T11:13:01+00:00

Only if there are shares available for sale.

Can I obtain funding or investors on Euronext?2019-11-11T11:18:09+00:00

Yes, Euronext is the greatest combination of markets in the continent. There are close to 1,500 listed companies and over 5,000 institutional investors analysing the markets on a daily basis.

What is a Listing Sponsor/Registered Advisor?2019-11-11T10:16:51+00:00

It is an official figure authorized, supervised and regulated by Euronext with a dual function:

  • Accompanying SMEs and SOCIMI in the listing process, ensuring these comply with all requirements established by each market, acting as global coordinator of the process, and ensuring that the information provided by the different advisors is accurate and complete.

  • Ensuring that companies comply with their information disclosure obligations whilst listed on a Stock Market.

What other advisors are needed during the listing process?2019-11-19T17:40:10+00:00
  • Auditor
  • Expert Independent Valuator
  • Legal Advisor
  • Spanish or International Advisors?2019-11-11T10:20:02+00:00

    The different needed advisors (Auditor, Legal Advisor, Expert Independent Valuator) shall be experienced firms, and with an established reputation regardless of their nationality.

    In the case of Spanish firms, Spanish advisors are more commonly used, although this is only a matter of practicality.

    What are the costs involved when listing on Euronext?2019-11-11T10:59:04+00:00

    Given the variety and diverse typology of companies, it is not possible to determine a costs range at this stage. We remain at your disposal to study your case: info@armanext.com or call +34 911 592 402

    How much does it cost to remain listed on Euronext?2019-11-11T10:49:36+00:00

    Given the variety and diverse typology of companies, it is not possible to determine a costs range at this stage. We remain at your disposal to study your case: info@armanext.com or call +34 911 592 402

    Is it mandatory for an issuing firm to hire a Listing Sponsor?2019-11-11T10:49:39+00:00

    Yes, hiring a Listing Sponsor (ArmanexT) is mandatory in most Markets. The Listing Sponsor is an official figure responsible for the coordination of the process. Furthermore, the Listing Sponsor will support shareholders and the management of the company along the listing process.

    How long does it take for a firm to be listed and traded on Euronext?2019-11-11T10:49:40+00:00

    Once all the necessary documentation is submitted, Euronext will provide a response within 30 days. The time needed to elaborate the Information Document will vary according to the company’s complexity. We remain at your disposal to study your case: info@armanext.com or call +34 911 592 402

    How is a company valued?2019-11-11T10:46:36+00:00

    Euronext does not require a specific method or valuation model. Each company (depending on their business sector and size) will be valued according to the most appropriate criteria by the Independent Expert Valuator.

    Can a Private Equity Fund invest in a listed company?2019-11-11T10:49:41+00:00

    Yes, Private Equity Funds are authorized to invest in companies listed on Multilateral Trading Facilities and maintain their investments without time restrictions.






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