More than 600 small and medium enterprises have accessed the SME platforms of the country’s two major stock exchanges till 2021, and the cumulative amount raised by these entities has crossed Rs 7,600 crore, an official said here on Friday.
Despite COVID-induced disruptions, 64 SMEs had raised around Rs 900 crore from such BSE and NSE platforms in 2021, SEBI Wholetime Member Ananta Barua said.
“Till 2021, 614 SMEs have accessed capital through the stock exchanges. In total, 367 companies have accessed the BSE stock exchange and 247 entities have accessed the NSE platform,” he said in an interactive session with the Chamber of Commerce and Industry of Merchants.
Barua said that all 367 companies have raised capital from the BSE SME platform, while 247 entities accessed NSE Emerge for their equity financing.
Each of the exchanges has helped them raise a cumulative amount of around Rs 3,800 crore, he said.
As many as 113 BSE platform SMEs and 102 NSE companies have already migrated to the main boards, the official said.
Companies listed on SME platforms can switch to the main exchange after meeting certain regulations of the exchanges.
During the COVID-19 pandemic, both stock exchanges relaxed listing terms and conditions, in a bid to help small and medium enterprises overcome challenges in raising capital, the official said.
There are SME-focused funds from both the private sector and the government.
“There are already 19 SME funds in operation,” he stated.
Barua also mentioned that a new trend of debt financing among startups has accelerated.
Citing a report, he said that a total of $538 million in venture debt has been disbursed through 2021.
According to the report, 91 companies benefited from venture debt financing.
Barua declined to talk about Axis AMC’s developments and the measures taken by the market regulator.