The Swiss stock exchange announced a new equity segment dedicated to SMEs – does this affect family offices?
SIX recently introduced Sparks, a new SME-focused segment on the stock exchange that appeals to smaller businesses interested in going public, but this could be of interest to family businesses and family offices, too.

What you need to know

  • Early in July 2021, the Swiss stock exchange SIX announced that – subject to regulatory approval – it will launch a new equity segment called Sparks, which is dedicated to small and medium-sized enterprises.
  • With fewer requirements for free-float, equity and financial track records, as well as allowances for companies with lower market capitalisation, the new segment aims to attract smaller companies interested in going public.
  • This has implications for SIX and its stakeholders, but could also present new opportunities for Swiss family offices and businesses alike.
Investments Published on Simple September 1, 2021

Over the summer, the Swiss stock exchange released important news, which may also interest Swiss family offices and family businesses. The Swiss stock exchange, SIX, has launched a new segment that could make going public more attractive to SMEs. The question also arises as to what this means for family businesses. On the one hand, the new segment could be an incentive for family businesses or parts of them to go public. On the other hand, it may create further investment opportunities for family businesses and family offices.

Let’s take a closer look

Early in July 2021, the Swiss stock exchange SIX announced that – subject to regulatory approval – it will launch a new equity segment called Sparks, which is dedicated to small and medium-sized enterprises. The new segment aims to attract companies with a lower market capitalisation to the stock exchange, meaning that on the day of the listing, they must have a market capitalisation of less than CHF 500-million. Further, fewer requirements for free float, equity and financial track records are intended to lower the entry thresholds for a stock exchange listing. Contrary to the main market a minimum trading activity will not be ensured by a percentage free-float (20% with a capitalisation of at least CHF 25-million), but by a shareholder base of more than 50 investors.

About the Authors

Sonja Kissling

Sonja Kissling

Governance & mediation

Sonja Kissling advises families in governance and decision-making processes. She specialises in helping families with complex family and business relationships  – where the family must be organised and relationships between family members and the business cultivated.

Connect with Sonja Kissling

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