Is your organisation ready to list?
You need to examine a wide range of factors in order to gauge your organisation’s preparedness for listing. The issues that need consideration include:
- What are your organisation's long-term goals and strategies?
- Are there skill gaps at the senior management and board level?
- How will these be resolved in a listed environment?
- Are directors and senior managers prepared for greater disclosure, accountability and transparency after listing?
- Is your organisation’s culture ready for listing?
- Are there tax issues to be resolved?
- Are strategies in place to retain key employees and key customers?
- What initiatives (e.g. acquisitions) need to be completed before listing?
- Are your operational, financial and management information systems sufficiently robust for a listed organisation?
- Have you taken account of corporate governance best practice?
- Is the timing right for a listing, in terms both of the business and of market conditions?
- Do you understand what investors and the market expect and require from you?
Your answers to these questions will give a good indication of how prepared you are for the transition to a publicly-listed company.
Your organisation must also meet specific requirements set out in the ASX listing rules in order to be eligible to list. These requirements include a set of minimum admission criteria, including structure, size and number of shareholders.
The following table summarises some of the key criteria your organisation will need to meet to be eligible for listing:
