The MRP store in the Mall of Africa, Gauteng. Picture: BLOOMBERG
The MRP store in the Mall of Africa, Gauteng. Picture: BLOOMBERG

The A2X exchange, which launched a platform for secondary listings in October 2017, has won over another JSE top-40 company, Mr Price Group.

Mr Price said on Tuesday that its shares will be tradeable on A2X from May 2. The retailer said it will  retain its primary listing on the JSE and its issued share capital will be unaffected by the secondary listing on A2X.

Earlier in April, Aspen Pharmacare obtained a secondary listing on A2X, which says it offers a lower-cost trading structure and the potential for companies to broaden their shareholder bases.

With Mr Price and Aspen on board, A2X will have 20 listings and a combined market capitalisation of R2.4-trillion. Other JSE top-40 companies with secondary listings on the exchange include Growthpoint Properties, Naspers and Standard Bank Group.

A2X CEO Kevin Brady said in December that Naspers’s secondary listing on the exchange at the time “gets us to critical mass”.

“To have the most liquid and second most liquid stock I think is a great endorsement for the merits of a secondary listing,” Brady said. “We expect the rate of adoption to accelerate in 2019.”

Brady said in a statement on Tuesday that Mr Price is the first retailer to list on A2X. There is no cost, risk, or additional regulatory compliance to Mr Price as a result of its secondary listing, he said.

Mr Price CEO Mark Blair said on Tuesday that the secondary listing “gives more choice to our current investors and opens up opportunity for us to attract potential new investors.”

hedleyn@businesslive.co.za