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Good News for Catalist Firms

Since you say so, no harm I just follow you. Now I am on the selection of picking Catalyst stock process, tomorrow I 'll start buying it.

iPunter      ( Date: 27-Jul-2009 12:53) Posted: Go Catalyst for explosive future growth expectations... Some may be blue chips the making... that's for sure...

 

Go Catalyst for explosive future growth expectations...

Some may be blue chips the making... that's for sure... 

 

With loans and gurantees extended, capitalist firms stand a good chance to grow rapidly.  Furthermore with SGX assuring investors of reasonable "exit-offers" should there be a delisting of any capitalist firm, investors would be much encouraged and should feel a sense of safety and security.  Think it is an opportunity to buy cheap capitalist stocks to double your money!   Capitalist firms are small but because of their small size, they have big leeways to go.  If you choose the right ones, can dream of many folds of gains in your investments.  Cheers.

 

The fee must be revised down at least valid for one to two years attracting more S-chips listing!

smartrader      ( Date: 25-Jul-2009 20:34) Posted: Published July 25, 2009 Financial help for former Sesdaq firms Aim is for them to stay listed under sponsor-supervised Catalist regime   By CONRAD TAN Email this article Print article Feedback   THE Singapore Exchange (SGX) is offering financial assistance and more time to former Sesdaq companies to help them stay listed under the sponsor-supervised Catalist regime that replaced Sesdaq in December 2007.   SGX said yesterday that it would guarantee 90 per cent of the risk on loans of up to $50,000 each extended by Hong Leong Finance to Catalist non-sponsored (NS) firms to pay their sponsor fees. It also extended the current deadline of Feb 5, 2010, for Catalist-NS firms to find a sponsor to the end of next year. The loan guarantee scheme is aimed at helping Catalist-NS companies - those that were listed on the old Sesdaq but have yet to engage a sponsor firm - meet the short-term expense of hiring a sponsor, Catalist head Ong Chong Jin said. 'We're aware that it's a difficult funding environment out there.' But former Sesdaq firms that have already engaged a sponsor will also be eligible for the loans. These firms, now known as Catalist firms, can use the funds to pay their sponsors' continuing fees, Mr Ong said. These annual fees vary widely; previous reports by BT suggest that sponsors were asking for $50,000 to $250,000 a year in early 2008, though fees have fallen since. The scheme will guarantee loans up to a total of $5 million. With the SGX guarantee, borrowers need not put up any collateral or provide any personal guarantees, Hong Leong Finance said separately. The loans will be for two years, at an annual interest rate of 6.5 per cent. Companies can apply for the loans from Aug 3 to Oct 30, and the loans must be drawn down by the end of this year. Hong Leong Finance, the sole provider of the loans, will assess whether firms are creditworthy. It will pay the money directly to the sponsor firms of approved borrowers. Asked if the scheme would be available to new Catalist entries, Mr Ong said that such firms should not need help with funding, as they would have recently raised funds through a public share offer. SGX also said it would suspend, rather than delist, the shares of firms that have not engaged a sponsor by the original deadline of Feb 5, 2010. The firms now have until end-2010 to find a sponsor before facing delisting. Those that delist must propose a 'reasonable' exit offer to shareholders, SGX said. According to the exchange, 76 of the 154 former Sesdaq companies that were without a sponsor at the launch of Catalist have yet to find a sponsor. Another 44 have engaged sponsors, 28 have transferred to the SGX mainboard and six have been delisted. Based on the latest quarterly updates by the remaining 76 Catalist-NS firms, 66 intend to appoint a sponsor before Feb 5 next year, while six are either planning a transfer to the mainboard or to restructure to keep their listing, SGX said. Of the remaining four, one is in financial difficulty, another is a cash shell, a third has no concrete plans yet, and the fourth is a dual-listed firm.

 

Published July 25, 2009

Financial help for former Sesdaq firms Aim is for them to stay listed under sponsor-supervised Catalist regime   By CONRAD TAN Email this article Print article Feedback   THE Singapore Exchange (SGX) is offering financial assistance and more time to former Sesdaq companies to help them stay listed under the sponsor-supervised Catalist regime that replaced Sesdaq in December 2007.   SGX said yesterday that it would guarantee 90 per cent of the risk on loans of up to $50,000 each extended by Hong Leong Finance to Catalist non-sponsored (NS) firms to pay their sponsor fees. It also extended the current deadline of Feb 5, 2010, for Catalist-NS firms to find a sponsor to the end of next year. The loan guarantee scheme is aimed at helping Catalist-NS companies - those that were listed on the old Sesdaq but have yet to engage a sponsor firm - meet the short-term expense of hiring a sponsor, Catalist head Ong Chong Jin said. 'We're aware that it's a difficult funding environment out there.' But former Sesdaq firms that have already engaged a sponsor will also be eligible for the loans. These firms, now known as Catalist firms, can use the funds to pay their sponsors' continuing fees, Mr Ong said. These annual fees vary widely; previous reports by BT suggest that sponsors were asking for $50,000 to $250,000 a year in early 2008, though fees have fallen since. The scheme will guarantee loans up to a total of $5 million. With the SGX guarantee, borrowers need not put up any collateral or provide any personal guarantees, Hong Leong Finance said separately. The loans will be for two years, at an annual interest rate of 6.5 per cent. Companies can apply for the loans from Aug 3 to Oct 30, and the loans must be drawn down by the end of this year. Hong Leong Finance, the sole provider of the loans, will assess whether firms are creditworthy. It will pay the money directly to the sponsor firms of approved borrowers. Asked if the scheme would be available to new Catalist entries, Mr Ong said that such firms should not need help with funding, as they would have recently raised funds through a public share offer. SGX also said it would suspend, rather than delist, the shares of firms that have not engaged a sponsor by the original deadline of Feb 5, 2010. The firms now have until end-2010 to find a sponsor before facing delisting. Those that delist must propose a 'reasonable' exit offer to shareholders, SGX said. According to the exchange, 76 of the 154 former Sesdaq companies that were without a sponsor at the launch of Catalist have yet to find a sponsor. Another 44 have engaged sponsors, 28 have transferred to the SGX mainboard and six have been delisted. Based on the latest quarterly updates by the remaining 76 Catalist-NS firms, 66 intend to appoint a sponsor before Feb 5 next year, while six are either planning a transfer to the mainboard or to restructure to keep their listing, SGX said. Of the remaining four, one is in financial difficulty, another is a cash shell, a third has no concrete plans yet, and the fourth is a dual-listed firm.