2. NASDAQ: A HISTORY OF INNOVATION & GROWTH
Armenian Stock
Exchange is
established.
NASDAQ goes
public
Acquisition of
Philadelphia and Boston
Stock Exchanges
Google lists on NASDAQ
Acquisition of
Thomson Reuters
Corporate Services,
with over 10,000
global clients
Acquisition of OMX Group.
Powering over 70 exchanges in
50 countries
1912 1920 1934 2004 2007 2013
Riga Stock
Exchange is
established
2
Launch of NASDAQ Private
Market
1808
Copenhagen
Securities
Exchange is
established
1863
Stockholm
Securities
Exchange is
established
Helsinki
Securities
Exchange is
established
Tallinn Stock
Exchange is
established in
Estonia
The Securities Exchange Act of 1934 becomes the regulatory
foundation for the US financial markets and establishes the
Securities and Exchange Commission (SEC)
The Maloney Act generates
the creation of the National
Association of Securities
Dealers (NASD)
February 8,1971 –
NASDAQ is
incorporated
Apple lists on
NASDAQ
1971 1980 1986
Microsoft lists on NASDAQ
The first exchange to open an
office in Silicon Valley
Iceland Stock Exchange is
established
1992
Vilnius Stock
Exchange is
established
1994
NASDAQ
surpasses
the New York
Stock
Exchange in
yearly share
volume
2000
Kraft Foods switches
to NASDAQ
NASDAQ acquires
shareholder.com
Robert Greifeld named
President and CEO of The
NASDAQ Stock Market
The
MarketSite
opens,
located in the
heart of Times
Square
NASDAQ
creates The
NASDAQ-100
Index
NASDAQ-100
MIFID I Directive has
been introduced
3. NASDAQ OMX
OUR GLOBAL LISTINGS BUSINESS
3
3400
NASDAQ OMX LISTS
COMPANIES
8 LISTING
OPPORTUNITIES
U.S. – NORDICS – BALTICS
LISTINGS ARE WORTH
IN MARKET CAP
$6 TRILLION ONLY EXCHANGE
TO OWN CORPORATE
SOLUTIONS
MORE THAN
$ 580
BILLION
INMARKETCAP
SWITCHED
TO NASDAQ
SINCE 2005
6. NASDAQ OMX
NASDAQ OMX NORDIC
FAST FACTS
•Market Cap EUR 985 billion
•Turnover per Business Day EUR 3 268
million
• 680 listed companies in the Nordics
Iceland
Sweden Finland
Denmark
Estonia
Latvia
Lithuania
Stockholm, March
• Market Cap EUR 561 billion
• Turnover per business day EUR 1 804 million
• 258 listed companies
6
7. NASDAQ OMX 7
MTF* markets
Operated by a market operator or
financial institution
No EU requirements for traded
companies
*Multilateral Trading Facility
Regulated markets
Operated by a market operator
Directives from EU applicable
• Prospectus directive
• Transparency directive
• Market abuse directive
MARKET SETUP MECHANISMS (EUROPE)
Main market
First North
Requirement from Swedish
FSA: it must be clear other
rules apply!
8. NASDAQ OMX 8
FINANCING EXAMPLES FROM STARTUP TO A LARGE BUSINESS
-Where and how does NASDAQ OMX support?
Seed
funding
Startup
funds
Family and
Friends
Bank
loan
Crowd
funding
Business
angels
Venture
Capital
Corporate
bond
Private
Equity
Growth
market
listing
Exit?
Stock
exchange
listing?
Trade
Sales?
9. NASDAQ OMX 9
First North
Stocks
Regulated Market
Stocks
Regulated Market
Bonds
First North Bond Market
NASDAQ OMX POSSIBILITIES FOR CORPORATIONS
10. NASDAQ OMX
BENEFITS OF A LISTING
▶ NASDAQ OMX in the Nordics
is one of the most liquid and
efficient cash equities market
in Europe, with entry points in
Helsinki, Stockholm and
Copenhagen.
▶ We have a proven placing
power – stocks of NASDAQ
OMX listed companies are
held by local, regional, and
global investors with a
balanced mix of long-term,
short-term, and retail
shareholders.
10
BENEFITS OF A FIRST NORTH LISTING
▶
▶
▶
▶
▶
▶
▶
11. 11
FIRST NORTH COMPLEMENTS THE MAIN MARKET
- Combines simplicity, expertise and visibility
* where possible
12. [PLACE GRAPHIC HERE]
NASDAQ OMX 12
LISTING PROCESS First North
COMPANY & CA
NASDAQ OMX
-15 DAYS
Company appoints a CA.
The CA books a start-up
meeting with NASDAQ
OMX. The CA (together
with the company)
PREPARES A LISTING
APPLICATION.
-15 DAYS
ICB DOCUMENT should be
sent to NASDAQ OMX at
least 15 days prior to the
first day of trading.
NASDAQ OMX will SEND
THE REQUEST TO ICB.
-10 DAYS
The CA FILES THE
LISTING
APPLICATION to
NASDAQ OMX
-4 DAYS
LISTING
DECISION
-3 DAYS
MARKETPLACE
ANNOUNCEMENT
-3 DAYS
PRESS RELEASE
from company
regarding the first
day of trading
FIRST TRADING
DAY
WELCOME CEREMONY at
NASDAQ OMX (date of the
first day of trading)
13. 13
NORDIC KEY FIGURES
(Per 19 June 2014. Not including the Baltics)
SINCE 2011:
68 NEW COMPANIES
150 COMPANIES IN TOTAL
INDEX +27% IN 2013
SINCE 2011:
59 NEW COMPANIES
553 COMPANIES IN TOTAL
INDEX +23% IN 2013 (SE)
COMBINES SIMPLICITY WITH VISIBILITY
GLOBAL MARKET
WITH LOCAL ACCESS
14. GLOBAL LISTING OPPORTUNITIES
14
MAIN MARKETS
ARMENIA
COPENHAGEN
HELSINKI
ICELAND
RIGA
STOCKHOLM
TALLINN
VILNIUS
NASDAQ DUBAI
GROWTH MARKETS
FIRST NORTH DENMARK
FIRST NORTH ESTONIA
FIRST NORTH FINLAND
FIRST NORTH ICELAND
FIRST NORTH LATVIA
FIRST NORTH LITHUANIA
FIRST NORTH SWEDEN
THE NASDAQ STOCK MARKET
NASDAQ CAPITAL MARKET
NASDAQ GLOBAL MARKET
NASDAQ GLOBAL SELECT
GROWTH MARKET
NASDAQ OMX BX
NASDAQ PRIVATE MARKET
(ADR PROGRAMS)
UNSPONSORED,
LEVEL I, II AND III
5 COMPANIES PER YEAR
15. SWEDISH AND NORDIC AVERAGE RETURN STANDS OUT
NASDAQ OMX has a proven track record of high performance – regardless if you compare 4, 10, 20 or even 40 years back in time.
Historically, the stock market index of NASDAQ OMX Stockholm has outperformed global markets. Source: MSCI.
Source: MSCI 2013
0% 2% 4% 6% 8% 10% 12% 14% 16% 18%
2012
4-year-average
10-year-average
20-year-average
30-year-average
40-year-average
SWEDEN NORDIC WORLD USA EUROPE
16. CONFIDENCE RETURNS: COMPANIES NEED TO BE READY TO SEIZE THE MOMENT
• The market today:
- Increasing valuations
- Low volatility
• SIXVX is a volatility index and is used
as a proxy for investors’ and
consumers’ views of the economy. It is
also referred to as a fear index since
high levels imply high perceived risk.
• High levels of SIXVX are often
associated with market pullbacks as
can be seen in the graph
16
-
200
400
600
800
1 000
1 200
1 400
0
10
20
30
40
50
60
70
80
90
OMX S30 Traded Value (BEUR) SIXVX OMX S30
17. 17
INDUSTRY LEADING LISTINGS IN EUROPE
Health Care
Industrials
Materials
Energy & Utilities
Financials
IT & Telecom
Consumer
Source: NASDAQ OMX October 2009
18. POWERFUL EUROPEAN FINANCIAL ECOSYSTEM
Source: FESE Year book 2013Source: NASDAQ OMX European Statistics
Source: NASDAQ OMX European Statistics Source: PEREP_Analytics, Inccfremental closing during 2013
19. 19
TRADING IN OUR NORDIC MARKETS
The level of assets allocated to cash equity assets in Sweden and the Nordics are higher than the European average. It is also higher than UK,
France and Germany.
Both Main Market and First North use one trading system (INET) with exposure to 184 Trading members.
MAIN MARKET
2013Q1
TURNOVER TRADES
GLOBAL INVESTMENT
BANKS
54% 58%
INTERNET BROKERS 7% 11%
NORDIC BANKS 27% 21%
NORDIC BROKERS 12% 10%
FIRST NORTH
2013Q1
TURNOVER TRADES
GLOBAL INVESTMENT
BANKS
19% 12%
INTERNET BROKERS 46% 56%
NORDIC BANKS 23% 21%
NORDIC BROKERS 12% 11%
MAIN MARKET INVESTOR BASE FIRST NORTH INVESTOR BASE
20. 20
NORDIC INDEX DEVELOPMENT - 2014
FIRST NORTH VS AIM
90
95
100
105
110
115
OMX Stockholm Large Cap PI OMX Stockholm Mid Cap PI OMX Stockholm Small Cap PI First North All-Share SEK FTSE AIM All-Share
OMX Stockholm Midcap 13%
OMX Stockholm Mid Cap 9,5%
OMX Stockholm Large Cap 8%
OMX First North Al-Share 4%
FTSE AIM All-Share - 8%
21. FIRST NORTH VS AIM (INCLUDING AIM INTERNATIONAL*)
• Average statistics for:
– Turnover
– No of trades
– Spreads
• 125 FN companies are matched against the AIM company
most similar in size given that they are in the same ICB
industry.
0
1000
2000
3000
4000
5000
6000
7000
8000
9000
AIM FN
Annual no of trades
Average company
AIM
FN
0
5
10
15
20
25
30
35
AIM FN
MillionsEUR
Annual turnover
Average company
AIM
FN
0%
10%
20%
30%
40%
50%
60%
70%
80%
AIM FN
Listed companies with a Spread below 5%
23. NASDAQ
RELATIONSHIP
MANAGER
IMPLEMENTATION
TEAM
24 HR.
CUSTOMER
SUPPORT
SURVEILLANCE
ANALYST
“One point person. Responsiveness
to requests and questions.
Accuracy of information.”
-Microchip
“I have great confidence in the NASDAQ
team and their response time to our
requests is quite remarkable. I feel like
we have bench strength having them
on our team.”
-Lululemon
“Staff from the helpdesk to client
account managers are
knowledgeable, resourceful
and quick to respond.”
-Pacific Life
“The editorial team is superb …
ensuring the press release or the
SEC filing is of high quality.”
-Cardtronics
DEDICATED SUPPORT STRUCTURE
23
24. NASDAQ’s DEDICATION TO PUBLIC COMPANY NEEDS
▶ Released hundreds of product
enhancements in 2013
▶ Client base of over 10,000 corporations
continually providing input to build best-in-
breed platforms
▶ Committed to differentiating our
solutions
▶ Over 20 years of experience
▶ A single integrated platform to manage
and master the two-way flow of
information
▶ Fusion of key data providers including
FirstCall and Street Accounts
▶ Enable individuals to share, create,
distribute, target and analyze across the
enterprise that is impossible today due to
existing siloes
▶ Invested over $350m with the acquisition
Thomson Reuters Corporate Solutions
▶ Support Team: Over 2,000 people in 60
countries
▶ Investing millions to develop our next
generation (NextGen) platform from the
ground up
NEXT GENERATIONPRODUCT INNOVATIONSTRATEGIC INVESTMENTS
With hundreds of front-line professionals dedicated to supporting our solutions, companies can leverage our vast knowledge and experience. We
not only support our products, we use our products.
24
OVER
10,000
CLIENTS
WORLDWIDE
100%
OF NASDAQ-100
COMPANIES
USE GLOBAL
CORPORATE
SOLUTIONS
96%
OF S&P 500
COMPANIES
USE GLOBAL
CORPORATE
SOLUTIONS
90%
OF FORTUNE 500
COMPANIES USE
GLOBAL
CORPORATE
SOLUTIONS
TRUSTED
BY MARKET
LEADERS
25. NASDAQ OMX
NASDAQ OMX CORPORATE SOLUTIONS
Our powerful Web-based PR solutions are designed to efficiently identify
key traditional and social media contacts, reach & distribution your
message, monitor the effectiveness of all of your campaigns and
measure the impact of your efforts
●
●
●
●
Increase the impact of your communication and stretch your outreach
with our Multimedia & Webhosting solutions
●
●
●
●
How do you ensure you simultaneously gather intelligence on your
current and potential shareholders, understand the dynamics of your
sector and the markets at large while optimizing your outreach and
communications strategy?
•
•
•
•
•
A diverse array of integrated services. You can improve board
communications, business ventures and effectiveness with
comprehensive, secure solutions designed to meet your specific needs
●
●
●
26. NASDAQ OMX
LISTING VISIBILITY
(EXAMPLE FROM MAIN MARKET LISTING)
26
Tower shot New York
Listing website
Listing press release
Listing digital guest book
Listing CEO interview
Listing film (main market listing only)
Listing banner
31. NASDAQ OMX
ADMISSION
REQUIREMENTS
FOR COMPANIES ON
FIRST NORTH The company shall sign an agreement with a Certified
Adviser
Conditions for sufficient supply and demand must exist
in the company’s shares:
▶ having a sufficient number of shareholders (300); and
▶ at least 10 percent of the share capital of the company being
held by the general public; or
▶ retaining the services of a Liquidity Provider
Preparation of a Company Description or prospectus
The company must possess the organization and staff
required in order to comply with the requirements
regarding disclosure of information to the market
Minimum share price 50 Eurocent at the time of
admission
32. NASDAQ OMX
THE CERTIFIED
ADVISER’S REVIEW
OF THE COMPANY
Guidelines regarding the content of the review
The background of persons on the board of
directors, suitability and experience, independence,
ownership
Legal review
▶ Making sure that the description of the legal risks in the
prospectus or company description is adequate
▶ A review of all material agreements entered into by the
company
▶ An assessment of the company’s tax situation
▶ A confirmation that all formalities in respect of corporate
matters have been handled properly
Information policy adopted by the board
33. NASDAQ OMX
THE COMPANY’S
APPLICATION
Information to be included in the Company Description
A company that does not possess documented
earnings capacity shall demonstrate if the company
possesses sufficient financial resources in order to be
able to conduct the planned business for at least twelve
months after the first day of trading. The information
shall be included in the prospectus
It should also be made clear when the company expects
to be profitable and how the company intends to
finance its operation until such time
Disclaimer regarding First North status shall be included
34. NASDAQ OMX 34
MARKET CAP SEGMENTS AND QUALIFICATIONS
Large Cap Mid Cap Small Cap First North
>1 BEUR 150M – 1 BEUR <150 MEUR No Mcap segments, but
”Premier segment”
About the segments:
The segment Large Cap includes companies whose shares have a market value of 1 billion euro or more.
The segment Mid Cap includes companies whose shares have a market value between 150 million euro
and 1 billion euro
The segment Small Cap includes companies whose shares have a market value of less than 150 million
euro.
Qualifications:
Revisions take place yearly, effective 1 Jan each year and based on the VWAP in November.
35. 35
FIRST NORTH FEES
First North
Application Fee* 5400 EUR
Quarterly Fee* Mcap 0-22 M: 1400 EUR
Mcap 22-54M: 1400-3800 EUR
Mcap 54-110M: 3800-6500 EUR
Mcap 110-220M: 6500-9200 EUR
Mcap >220M: 9200 EUR
Rights issue* 5400 EUR + 1 ‰ of amount (max 81500
EUR)
(as of february 2014 edition of price list, may be subject to change)
36. 36
US LSE Euronext Deutsche
Börse
OMX
819
222
184
172 103
MARKET COMPARISON – TECHNOLOGY
Listed Companies - Technology Market Capitalization – Technology ($B)
Total Analysts Recommendations - Technology
Source: Bloomberg Research, 28th of April 2014. Companies in the GICS: Information Technology.
US Market lists more companies and trades more volume than European exchanges.
US LSE Euronext Deutsche
Börse
OMX
4 876
345
132 152 94
US LSE Euronext Deutsche Börse OMX
1 451 200
1 241 458
251 254
113 588
641 735
6 Months Average Daily Volume - Technology Average P/E Ratio - Technology
US LSE Euronext Deutsche Börse OMX
7 458
582 465 524 211
US LSE Euronext Deutsche Börse OMX
84
53
31
62
31
37. First North vs AIM (Median)
• Median statistics for:
• -Turnover
• -No of trades
• -Velocity
• 125 FN companies are matched against the AIM company
most similar in size given that they are in the same ICB
industry.
37
0,0
0,5
1,0
1,5
2,0
2,5
3,0
3,5
AIM FN
MillionsEUR
Annual turnover
Median company
Turnover
0
100
200
300
400
500
600
700
800
AIM FN
Annual no of trades
Median company
Trades
0
5
10
15
20
25
AIM FN
Turnover velocity (%)
Median company
Velocity
39. THE EUROPEAN REGULATORY FRAMEWORK
1808
39
Operated by a market operator
Directives from EU applicable
• Prospectus directive
• Transparency directive
• Market abuse directive
Operated by a market operator or financial institution
No European Union requirements for traded companies
* Multilateral trading facility
Regulated Markets
MTF* Markets
