OTC Markets Group to Launch New Community and Regional Bank Marketplace

Mar 07, 2014, 08:00 ET from OTC Markets Group Inc.

NEW YORK, March 7, 2014 /PRNewswire/ -- OTC Markets Group Inc. (OTCQX: OTCM), operator of financial marketplaces for 10,000 U.S. and global securities, today announced it plans to launch a new public marketplace designed to meet the needs of community and regional banks nationwide. OTCQX® Banks expands OTC Markets Group's successful OTCQX marketplace for established U.S. and global companies and provides SEC- and non-SEC reporting banks with an efficient and informed public market that leverages their existing bank regulatory requirements and distinguishes shareholder focused banks that are well-managed and strongly-capitalized.

OTCQX Banks, scheduled to launch in spring 2014, will provide community and regional banks and their shareholders a cost-effective public market that meets their unique needs. Its features will include:

  • Enhanced visibility with investors, depositors and the community – OTCQX is recognized among investors for distinguishing the most high-quality, shareholder-friendly companies trading off a U.S. stock exchange. 
  • Transparent disclosure with less complexity – Banks can leverage their existing financial reports and regulatory filings and are required to follow investor relations best practices such as timely news dissemination of material events and earnings announcements to build confidence that their public market price reflects all available public information.  Through its large network of data distributors and media partners, OTC Markets Group will ensure financials are promptly distributed, readily available, and easily researchable so banks can maximize the value of being public by sharing their stories widely with investors and depositors.  
  • Dedicated capital market support – Banks can now appoint a principal "Corporate Broker" to serve as their OTCQX advisor, providing access to institutional investors, trading expertise, wealth management and investment banking services.
  • Peer benchmarking – Banks will trade exclusively among other well-managed, shareholder-friendly financial institutions, allowing for easy benchmarking against their peers.  OTCQX Banks will also serve as a baseline for a new community bank index to provide a more accurate benchmark for the performance of small- and mid-sized banks across the nation.

"With over 600 community and regional banks traded on our OTCQB marketplace, we have recognized the need for a marketplace that better supports these banks' distinct place in the public markets: already heavily regulated, financially solid, pillars of their local communities," said Tim Ryan, Vice President and Managing Director of OTC Markets Group.  "The OTCQX Banks qualification process will distinguish shareholder-friendly small banks and provide them enhanced visibility without the cost and complexity of a traditional stock exchange listing.  We look forward to working with our banks and broker-dealer community to build a successful OTCQX Banks that gives small banks the public market they deserve."

Banks and broker-dealers with questions about OTCQX Banks or to apply can contact OTC Markets Group's Corporate Services at +1 (212) 896-4420 or issuers@otcmarkets.com

About OTC Markets Group Inc. 
OTC Markets Group Inc. (OTCQX: OTCM) operates Open, Transparent and Connected financial marketplaces for 10,000 U.S. and global securities. Through our OTC Link® ATS, we directly link a diverse network of broker-dealers that provide liquidity and execution services for a wide spectrum of securities. We organize these securities into marketplaces to better inform investors of opportunities and risks – OTCQX®, The Best Marketplace with Qualified Companies; OTCQB®, The Venture Stage Marketplace with U.S. Reporting Companies; and OTC Pink®, The Open Marketplace with Variable Reporting Companies. Our data-driven platform enables investors to easily trade through the broker of their choice at the best possible price and empowers a broad range of companies to improve the quality and availability of information for their investors. To learn more about how we create better informed and more efficient financial marketplaces, visit www.otcmarkets.com.
OTC Link® ATS is operated by OTC Link LLC, member FINRA/SIPC and SEC regulated ATS.

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SOURCE OTC Markets Group Inc.