Preparation of companies for listing on Russian and international stock exchanges

We offer a wide range of services to our clients, from high-level diagnostics of the internal control system readiness for the requirements of the exchange to support of “turnkey” preparation for the requirements of the exchange (including assistance in the development of policies and procedures and on-the-job training of employees).

The requirements on corporate governance in general and the creation of an internal control system in particular are much more significant for public companies than for non-public companies. These requirements may be contained both in the listing requirements of the exchange itself and in the legislative instruments of the jurisdiction in which the exchange operates.

Examples of regulatory documents for the most popular exchanges among Russian issuers:

• RF: 208-FZ On Joint Stock Companies, Moscow Exchange Requirements for the Issuer’s Corporate Governance, Code of Corporate Governance of the Bank of Russia (recommendations).
• PRC: Basic Standard for Enterprise Internal Control (C-SOX), Implementation Guidelines.
• Singapore: SGX Rulebook.

Requirements may vary from jurisdiction to jurisdiction, but most often they relate to the following aspects:

• Determination of responsibility for the effective functioning of the internal control system
• Need to ensure an independent internal audit function
• Rules for regular reporting on the effectiveness of the internal control system

Scope of work

Determined based on the client’s request and the current level of maturity of its internal control system.

Kept methodology

Kept has an extensive knowledge base on the requirements of exchanges, the experience of other issuers, and its own models for assessing the maturity of the internal control system.

Value to the business

• Reduction of own labor efforts on preparing for an IPO.
• Minimizing the time needed to identify the areas required by the exchange.
• Support of communication with underwriting banks on their internal control issues.