RetailBook allows retail investors to participate in IPOs on the same terms as institutional investors
IN BRIEF:
- RetailBook, previously known as REX, allows retail investors to take part in capital markets transactions such as initial public offerings (IPOs) and follow-on share sales through retail brokers
- It is based on tech used by City broker Peel Hunt, which is behind the venture
- Peel Hunt is hoping that RetailBook will help broaden the customer base of the stock market amid calls for more retail investment from the government and regulators
What does this mean?
Co-CEO of Crowdcube, Matt Cooper, said: "The UK listings market has experienced substantial headwinds. Nevertheless, our partnership indicates our commitment to the UK market and what we expect to see a change in sentiment later in the year. As the tides shift and listings regain momentum later in the year, we want to ensure that retail investors reap benefits equal to those enjoyed by institutional investors. The partnership marks a significant step forward in democratising access to the capital markets and providing retail investors with equal opportunities to participate in the growth of exciting businesses. It also creates one of the largest single pools of retail investors in the UK to which a company may market their IPO.
