Some companies are characterized by low marketability and lose a lot of attractiveness for the investor “you are not interested in having a company that you cannot be operating in the market,” says Carlos Ponce, founding partner of SNX, an analysis firm, promotion and stock investment.
This lack of marketability happens because they have few shares that are in circulation, which prevents investors from being able to buy and sell them easily. Most of the time this happens, because the companies continue to be completely family and concentrate the actions in a few people who do not let them go. “Given the low volume traded, large institutional investors face difficulties in creating and liquidating positions. Ultimately, this reduces liquidity and confines smaller issuers to a marginal share of the market.
Being on the stock market has many advantages for companies, it is a source of financing, many times cheaper than other channels such as banking, it opens the door to more opportunities to raise money, both in capital and debt, and it has greater recognition .
The last company that has announced its intention to leave, and that with it could end a two-year drought in the market, is Globcash looking to make its initial public offering in BIVA. If it materializes, it would be the first medium-sized one, one of the banners that BIVA has sought since it began operations in 2018.
“It is not about just having more companies, but having companies that operate and not only have a blackboard key and that no one can buy and sell them,” says Ponce.