The Taiwan Monthly

Listed Companies and Initial Public Offerings

Taiwan Innovation Board (TIB) officially launched! A brand new platform injecting new momentum into the economy

The Taiwan Stock Exchange (TWSE) and the Taipei Exchange (TPEx) co-hosted the launching ceremony of the Taiwan Innovation Board (TIB) and Pioneer Stock Board (PSB) on July 20 and concluded with great success. The launching ceremony began with the opening remarks delivered by the organizers, Chairman Hsu of TWSE and Chairman Chen of TPEx, followed by the remarks by Premier Su of the Executive Yuan, Chairman Huang of Financial Supervisory Commission (FSC), and Minister Kung of National Development Council (NDC). After the remarks, they counted down to launch the TIB and PSB, setting another new milestone in the capital market.

Premier Su mentioned in his remark that "the capital market is the window of the national economy. Since President Tsai took office, Taiwan stocks continue to hit new highs. Moreover, with the joint efforts made by all Taiwanese, Taiwan amazes the world as its stock market remains strong amid the COVID-19 crisis. Today, the TWSE and TPEx provide innovative industries with a better financing environment. This is not only a breakthrough but also an economic strategy devised by the government to cultivate innovative industries." Premier Su recognized the TIB as its characteristics of deregulating listing requirements, shortening companies' preparation period, building a sound financing platform, and helping innovative industries create greater value.

 

FSC Chairman Huang, the supervisor of the capital market, said that "the capital market channels funding and investments. The FSC officially launched the Capital Market Roadmap in December 2020 to continuously facilitate the capital market development. The Roadmap underpins several development indicators—fairness, efficiency, innovation, openness, and global connections. The launch of the TIB echoes the Roadmap's goal—strengthening the functions of the primary market and supporting the development of the real economy." Chairman Huang also hopes that the TIB develops steadily, bringing in more new momentum for the capital market, and drive Taiwan's economic development.

NDC Minister Kung explained that the NDC has implemented the policy to optimize Taiwan's investment environment for innovative industries by continuously providing startups with talent or funds. Minister Kung further said that "the TIB provides innovative industries with a channel to enter Taiwan's multi-tiered capital market and creates opportunities for them to develop and expand. This is a revolutionary and significant change in mindset."

 

In recent years, the TWSE has launched continuous trading and odd-lot intraday trading systems. After a year of prudent planning, the TWSE launched the TIB, not only to meet the demand of innovative companies, but also to support the government's policies. According to TWSE Chairman Hsu, "the domestic economy has seen significant growth in recent years, and the securities market is also booming. The total stock market capitalization currently reached NT$60 trillion, with daily trading volume surpassing NT$500 billion, showing more-than-double growth compared to previous years. Since the capital market has strong capital flows, it is a perfect timing to launch the TIB." During the process in preparation for the TIB, the TWSE consulted various parties and referred to practices adopted by major countries to come up with a feasible plan. Chairman Hsu stated that the TWSE will continuously make extra efforts to develop the TIB and review and adjust the board on a rolling basis to perfect the TIB and better meet the market's needs.

 

To invigorate the capital market and contribute to the national economy, the TWSE cultivates startups through the capital market. The TIB gives innovative companies a new financing option and serves as a crucial bridge between the startup ecosystem and capital market. Startups can obtain long-term and stable working capital via listed on the TIB to achieve stable expansion and development and strengthen their operational foundation and competitiveness. Going forward, the TWSE will continuously and proactively safeguard the rights and interests of market participants, build a high-quality investment and financing environment, and create exponential growth for the capital market.

 

The video recording of the launching ceremony has been uploaded to the TWSE's Webpro 3.0. To watch the video, please go to Webpro 3.0 ＞ InvestTW (https://webpro.twse.com.tw/webportal/vod/117/?categoryId=156) or Webpro 3.0 ＞ Announcement and Explanation > Launching Ceremony (https://webpro.twse.com.tw/webportal/vod/104/?categoryId=154).

 

For further inquiries, please contact Mr. Chuang at 1020@twse.com.tw