OTC Markets India Begins Inviting Indian Private Companies for Listing

NEW DELHI, Sept. 2, 2015 /PRNewswire/ -- Over the Counter markets or OTC, better known as off-exchange stock trading where the dealing is done directly by the two parties without any interference of a stock exchange, is now in India and is in the process of inviting the first batch of 250 private companies for the listing on www.otcmarkets.in.

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The entries will remain open till October 31, 2015 and the platform will be up by December 31, 2015. The entries are strictly on a first come first served basis.

Globally, OTC is a multi trillion dollar market. Hundreds of companies who fail to comply with the listing requirements of a regulated stocks exchanges often trade their stocks and bonds over the counter to raise money directly from the investors and build a publicly visible market capitalization or valuation. Such companies trade under their own stock symbol and acts and report like a publicly listed company.

Many private companies prefer listing on OTC Markets due to their low listing fee and the investment process, which involves private meetings with the investors as well as online trading.

In India, OTC trades are only conducted offline where the intermediaries invite investors to buy shares of a company who is expected to perform well or is close to an IPO. Such trades may turn risky as intermediaries themselves may be the paid agents of a company.

The new platform, www.otcmarkets.in, will reduce the risk element involved in such trades as the platform will rate the companies on the basis of their disclosures. The platform will not charge any success fee or a trading fee to the companies or the investors. All information of the companies will remain in the public domain.

OTC Markets India will also enhance liquidity as trades will happen online which will simplify the matchmaking.

OTC Markets India will also assist in the branding of a company. The disclosures will be done via press releases which a promoter can outsource to a platform verified agency.

"IPO's on a regulated exchange are the exit mechanism for the initial investors in the company at the cost of general public. Many stocks immediately tank after their listing as the initial investors exit to the retail public. Any company can list on our platform whether a day old or a hundred years old, loss making or profit making, bankrupt or distressed assets," said William Knapp, US based CEO of OTC Markets India.

The listing fee on OTC Markets India is capped at US $2,650 per year or INR 166,950 (1$=INR 63.00) all inclusive of taxes. The first batch of 250 companies will receive free rating for a year priced at US $1250 or INR 78,750 (1$=INR 63.00).

To list on OTC Markets India log on www.otcmarkets.in or to directly access the form log onto www.otcmarkets.in/form

Media Contact: Mukesh Agarwal, +91 9811 968 475

SOURCE OTC Markets India

Related Links

http://www.otcmarkets.in