Gibraltar, 28 September 2023– ASMX Group PLC, a developer of digitally enabled secondary market trading technology, has reached a significant strategic agreement with MERJ Exchange. Under this agreement ASMX is set to launch a ground-breaking digital trading solution for companies to list traditional debt and equity securities, as well as fractionalized assets, such as green infrastructure and real estate on a worldwide basis.
The new platform will offer on-exchange trading, clearing, settlement, and registry services through an integration with MERJ Exchange, alongside cutting edge Know Your Customer (KYC), Anti-Money Laundering (AML) systems, and integrated payment solutions. Additionally, ASMX Group PLC will include a regulated Exchange Sponsor, an Exchange Member, and comprehensive analogue and digital custody service known as ‘ASMX Custody Services’.
The offering is designed to provide an accessible and integrated solution for smaller issuers of listed securities. Modern technology is employed to minimise unnecessary cost and limit administrative burden. This makes it more realistic than ever for SMEs, and issuers of alternative assets, to bring exchange listed securities to market.
Commenting on the agreement, Alex Benger, Co-founder and Chief Operating Officer of ASMX Group PLC, stated, “Having previously operated an SME exchange, I am fully aware of the effort required to establish a successful trading venue which is why we selected MERJ to partner with. We required an execution venue that would work with us to make the process of listing more efficient, more cost effective and who embrace modern technologies and processes to achieve that. MERJ have demonstrated over a number of years that they are a perfect fit and we are excited for the launch of our partnership.”
ASMX Group PLC offers regulated broker-dealers the opportunity to connect to this innovative ecosystem and trade across MERJ while retaining their own customer base. In addition, ASMX provides onboarding and client management platforms, streamlining the process for market participants.
ASMX and MERJ share a bold vision of enhancing liquidity within the SME debt and equity space. Founder, David Bradley-Ward commented, “Currently, 87% of the world’s market capitalization is concentrated on 16 exchanges, and the NYSE alone exceeds the combined size of the smallest 50 exchanges. This dominance creates barriers for smaller companies due to exorbitant fees and clunky processes, limiting their access to market liquidity. ASMX and MERJ aim to change this paradigm by offering an efficient listing process underpinned by modern digital technology.”
ASMX is set to launch connected platforms in the UK, Malta, Abu Dhabi and Jersey with plans for further expansion on the horizon. These platforms will serve as operators for the ASMX onboarding process, actively marketing their platforms to customers and originating listings for the exchange.
Bobby Brantley, Director of MERJ, discussing the collaboration, stated, “ASMX and MERJ share the common goal of making listed securities a viable option for SMEs, venture-stage companies, and alternative issuers, while providing safe and transparent access for investors. Leveraging technology to reduce costs and frictions, we are thrilled to work with ASMX and their ecosystem of issuers and investors.”