MSE to launch 2 exchange platforms to invest $100 million on MSMEs and startups
New Delhi, Oct 11 (KNN) Metropolitan Stock Exchange of India Limited (MSE) has partnered with Canada-based technology Delaware Group and media focused DTM Global Holdings and their partners to launch 2 exchange platforms with a view to facilitate MSMEs and startups.
With the launch of a robust platform for the development of both equity and debt market segments, MSE is planning to invest $100 Mn on MSME (micro, small and medium enterprises) and startups.
Speaking about this move, MSE CFO, Kunal Sanghvi said “We are looking at starting with a $100 Mn fund going up to $250 Mn in the next three years. This will also enable us to garner a 20% market share in the same time frame.”
The initiative is aimed towards MSMEs and startups deleverage their bank balance sheets and improve credibility in the financial system.
MSE has forged an alliance to launch VentureXchange, aimed to open up newer avenues for MSMEs growth and foster startup ecosystem; and Go-LiquidX, focussed on creating liquidity in the distressed and non-performing loan sector.
According to Sanghvi, the objective of launching the exchange platforms is to create more bandwidth for attracting investors as well as participants to create a more conducive financial environment.
The alliance is also planning to launch alternative investment funds (AIFs) to facilitate the growth of the industry, and also to address the concerns of venture capitalists and investors who face the challenge of illiquidity.
“The idea is to be the enabler and create a tech-enabled liquidity bridge that will offer a range of exit options to existing investors, which in turn will encourage them to reinvest in more startups,” Sanghvi said.
Besides, MSE eyes to rollout programs in partnership with DTM Global Holding targeting the NPA (non-performing asset) market, which is today at about (INR 9 lakh Cr), the startup market which is approximately $15 Bn, and the MSME market valued at $2 Bn.