Main Market launch – Julia Hoggett, London Stock Exchange

Today we are celebrating a groundbreaking moment in the evolution of the UK’s capital markets. The launch of the new Main Market is the culmination of years of engagement with company founders, boards and their investors – representing companies large and small, industries new and old, and investors of different sizes and mandates.

The updated rules implemented include new ways for companies to raise money in the UK, new ways of carrying out mergers and acquisitions and new ways of investing in our markets. It takes what works best and does away with what does not, removing the friction points that have built up over time, in a capital market that has a long and vibrant history.

These reforms support the UK and its ability to remain a highly competitive global destination to raise capital. Ensuring we continue to be the home to the largest exchange in Europe and one of the leading exchanges globally. Crucially, when coupled with the wider ongoing reform agenda in the UK, it will ensure that we can turbocharge how our markets support the UK’s domestic economy.

More accessible funding for companies means more opportunities to grow businesses and invest in the UK’s future. Financing more innovation, infrastructure and productivity and more high-quality jobs for people up and down this country and beyond. Investors, from pension schemes to retail investors, will have easier access to a greater choice of assets and return opportunities, right here in the UK, to support their futures.

The credit for this formidable evolution goes to a very wide range of stakeholders, including most importantly, the team at the Financial Conduct Authority (FCA), but equally teams at HM Treasury, the teams behind the Lord Hill and Mark Austin Reviews, and many others across the sector who have engaged so actively and constructively with the largest primary markets reform agenda in a generation.

At the London Stock Exchange, we have been strong supporters of this work from the moment Lord Hill started his review, all the way through several rounds of FCA consultations, and we continue to support efforts to make the UK a leading destination for companies and investors through bodies like the Capital Markets Industry Taskforce.

[Julia Hoggett, DBE, CEO London Stock Exchange plc] The Financial Conduct Authority is enacting the mostsignificant reforms in a generation for the London StockExchange's Main Market.These changes make the listing rules simpler and more flexiblefor companies that want to join the Exchange, and for those whoare already part of our market.They will allow companies to act more quickly to raise thecapital that they need to drive growth and innovation.All the while giving investors the information that they needto make the right investment decisions.[Load Hill of Oareford, CRB] We set out a range of proposals of reformsthat were drawing on the best we could find in other marketsaround the world, in competitor jurisdictions.And over the last three years,I've watched from outside as the Stock Exchange, as theFCA, the government, the market more generally,have worked through these reforms and I think have setabout making London a more attractive,more competitive place for companies to come and list.[Helen Boyd, Head of Capital Markets Financial Conduct Authority] The single segment will provide an easier,simpler route for companies seeking a primary listing,collapsing the previous premium and standard segments together.For those international companies seeking a secondary listing,we will have an equally simple route through the second category.[Mark Austin, CBE, Partner, Latham & Watkins] So the changes to the main market that have come in nowmean that for issuers,the eligibility requirements and the standards that have tocomplied with become more flexible.And for investors,it means that we've moved to a disclosure-based approachwhereby investors are given more of the information theyneed to make sensible investment decisions about thecompanies they want to invest in.The benefits of this disclosure based approach for companies,it provides an easier route of access to the UK capitalmarkets whilst also maintaining the high standards forinvestors that the UK is rightly proud of.The UK capital markets and London Stock Exchange are now match fit again.They're now a great place, as they always were,to be honest with you, for a company to start, to grow,to scale, and to stay.This has been a tremendous effort for which the whole UKecosystem has come together, from government to regulators,from companies and their advisers, to investors.I look forward to seeing the many ways these rules will makea difference to the companies on our markets today,those joining in the future,and for those who invest in them.Visit londonstockexchange.com/mainmarket to learn more

This video shown above is for information only. The London Stock Exchange (“LSE”) attempts to ensure the information is accurate, however it is provided “AS IS” and on an “AS AVAILABLE” basis and may not be accurate or up to date. No responsibility is accepted by or on behalf of LSE or any members of the London Stock Exchange Group (“LSEG”) for any errors, omissions, or inaccurate information in this video or for the results of any action taken on the basis of the video. The information contained in this video does not constitute professional, legal, regulatory, financial, or investment advice.

The new rules make our markets simpler for companies to raise capital and in turn will create more opportunities for investors that come to London, from around the UK and every part of the globe, in search of great investments. These game-changing reforms set the stage for the success of our markets for generations to come – you are all invited to join us on the Main Market – the UK’s Main Stage!

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