It should be noted that at the time of (initial) listing, your organisation will need to pay an initial listing fee and a pro-rata annual listing fee for the remainder of the financial year. In the following financial years, the full annual listing fee will apply.
ASX’s initial and annual listing fees are calculated based on an organisation’s total capitalisation, whereas subsequent listing fees are based on the amount of capital raised. The following example illustrates the difference:
Company X decides to List. Company X has 100 shares on issue, of which the owners decide to sell 50 at $1.00 each to raise $50.00. For this IPO, Company X will pay an initial listing fee and a pro-rata annual listing fee.
Although only $50.00 was raised, Initial and pro-rata Annual Listing Fees are calculated using Company X’s total market capitalisation of $100.00 (being 100 shares at $1.00 each).
The following year, Company X’s share rises to $1.20. The annual listing fee is calculated based on the total market capitalisation of $120.00 (being 100 shares at $1.20 each).
Later that year, Company X decided to raise an additional $23.00 to buy (for cash) Company Y. To fund this acquisition, Company X issues 20 new shares at $1.15 each. Company X’s subsequent listing fee is calculated based on the amount of new capital raised ($23.00).
You should also consider that there are clearing and settlement fees (refer fee schedule section 4) and other non-ASX costs associated with listing and raising capital. ASX clearing and settlement fees for issuers are changing from 1 July 2022. Find more detail here.
This information is provided for general information purposes only. Some exceptions to the policy described above exist - different fee schedules may apply in the cases of debt listings, foreign exempt listings, and listed funds.
We recommend that you discuss this further with your advisers and also with ASX when you are about to list. For more details, see ASX’s current schedule of listing fees in Listing Rule Guidance Note 15A or contact ASX.