Fronteras Novastra Investment Holdings Limited has been accepted on the recently opened GEM Portal as a Qualified Investor bringing with it an initial US$250 000 funding for small to medium enterprises.
GEM Portal by Financial Securities Exchange (FINSEC) is a dedicated online platform designed for SMEs in need of raising capital for retooling operations, increase productivity, or to increase their product range and or to expand into diversified markets. Launched last December and opened for applications last month after feasibility studies, the portal enables enterprises to apply for funding and possible listing online.
FINSEC general manager Garikayi Munema said the exchange accepted Fronteras on its platform as a qualified investor to provide funding for budding SMEs with growth potential but have been failing to access affordable funding.
“Qualified Investors are financiers (corporates or individuals) who register to provide funding to GEM Portal applicants after demonstrating their investment experience and understanding of the investment risks,” said Mr Munema in a statement.
“Fronteras will bring in an initial fund of equivalent to US$250 000 for investment into qualifying enterprises,”said.
Fronteras Investment Group is an investment company founded in 2015 to deploy capital to growth enterprises in Africa with various investments in mining, agriculture, tourism, real estate, healthcare and financial services.
Within the group companies, Fronteras offers advisory services through the Securities and Exchanges Commission of Zimbabwe licensed subsidiary, Fronteras Corporate Advisors.
“By registering and being accepted as a Qualified Investor, Fronteras Novastra Investment Holdings Limited will have access to the pipeline of enterprises applying for funding through the GEM Portal and will be able to identify enterprises suitable for short; medium and long-term debt, equity finance, restricted offers, pre-IPO placements, private placements or Initial Public Offers leading to listing on FINSEC,” said Mr Munema.
Fronteras Novastra intends to extend advisory services to enterprises requiring such services.
According to FINSEC, the GEM Portal utilises alternative data analytics through integrations to financial services providers of the applicants and uses digital algorithms including inbuilt artificial intelligence capabilities to analyse, score and screen applicants for suitability of funding in real-time. On the other hand, the platform admits financiers who can register as qualified investors after demonstrating their investment experience and understanding of the investment risk.
Institutional investors, fund managers, corporates, high net worth individuals, the diaspora, foreign investors and development finance Institutions are eligible to participate as qualified investors and can all register online.