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FSB grants exchange licences to ZAR X, 4 Africa Exchange

2nd September 2016

By: Megan van Wyngaardt

Creamer Media Contributing Editor Online

  

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The Financial Services Board (FSB) has granted two entities ZAR X and 4 Africa Exchange (4AX) exchange licences.

4AX is set to become the next licensed exchange in South Africa – catering for companies who seek a listings alternative to the JSE.

“We are delighted to have secured our licence. South Africa is a vibrant, growing market with enormous potential and we are confident that there’s a strong appetite for an additional licensed exchange to further develop and deepen the capital markets in the country,” CEO Fay Mukaddam said.

4AX seeks to be an empowered exchange with the vision of contributing to the country’s economic growth and prosperity by providing an effective marketplace for issuers to raise capital, meet the unique needs of retail investors, while attracting institutional trading in securities.

“South Africa requires the services of another stock exchange that is tailored to suit the needs currently not met by the amended legislative framework. It is our belief that 4AX can stand as a vehicle for diversity, which, in turn, will drive real economic inclusion. We are pleased with the FSB’s decision to give us this opportunity.”

“It’s an exciting time. And while much of the hard work has already been completed, this is the beginning of the next chapter as we begin our preparations to go live in early 2017.

“With transparency, local economic development and affordability at the forefront of this vehicle, we hope to quickly become a force to be reckoned with, while raising the economic growth and financial development of South Africa,” concludes Mukaddam.

The FSB has also granted ZAR X an exchange licence.

The FSB had, in March, granted ZAR X a conditional stock exchange licence. However, following an appeal by the JSE, the conditional licence was suspended.

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

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