03-Skalkotos Nasdaq Houston Speech Update

8/8/2019 03-Skalkotos Nasdaq Houston Speech Update

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Copyright 2004, The Nasdaq Stock Market, Inc. All rights reserved.

Status of NASDAQand the IPO Market

Demetrios N. SkalkotosVice President

The NASDAQ Stock Market


2/18


A Market that Works for InvestorsNASDAQ provides an open, transparent and competitive platform toenable buyers and sellers to efficiently interact and access pools ofliquidity.


3/18

Copyright 2004, The Nasdaq Stock Market, Inc. All rights reserved. 3

Number of listed companies = 3,285Number of listed companies = 3,285

Market Cap. = $2.98 TrillionMarket Cap. = $2.98 Trillion

2003 share volume = 425 Billion2003 share volume = 425 Billion

NASDAQ Trades More Shares than any otherMarket or Exchange


4/18


Since 1998 (to YTD 2004), the total number of

publicly-traded companies on listed US markets is down 24%.

0684829 47 4

4109

66

0 28114 02

2862 2798 278 27 27 2

770 769 76 691 698 700 676

1998 1999 2000 2001 2002 200 2004

NASDAQ

NYSE

AMEX

Total Listings by Market


5/18


ConsumerDiscretionary

13%

Energy2%

Financials22%

Health Care17%

Industrials

10%

InformationTechnology

28%

Materials2%

Utilities1%

TelecommunicationServices

2%Consumer Staples

3%

NASDAQ National Industry Leaders

*Includes Companies included in NASDAQs Dual Listing Program


6/18


IPO Overview


7/18


Includes domestic and foreign IPOs on NASDAQ (NNM and SCM), NYSE and AMEX, best-efforts and bank demutualizations.

Excludes unit investment trusts and fully classified closed-end funds.

* As of Sept 20th, 2004.

Source: NASDAQ, EquiDesk

Annual Total Initial Public Offerings

Total Number of IPOs

5

6

5 9 55

6

6

6

544

45

9

6

99 99 994 995 996 99 99 999 4*

After three very slow years, the IPO market is picking up; there have already been 1 2 IPOs that haveraised over $25 Billion in 2004 (up over 300% from 2003). There are currently over 150 registrations for

IPOs filed and pending.


8/18


Include all domestic and foreign common stocks.


Source: NASDAQ, EquiDesk, FactSet Research Systems, Inc.

S-1 Flied

Priced

SEC Filings for IPOs

Number of Companies Filing Registrations for New Stock Offerings.

1 1 1

1

1

1

1

1


9/18


NASDAQ

NYSE

NASDAQ is the MarketPlace for IPOs

Since 1992, NASDAQ has captured 83% of the IPO market.

Number of IPOs by Market

AMEX

44

5

4444 6

6

494 4 6

9

6 5 569 6 4 4 4 5 49 6 4 46

99 99 994 995 996 99 99 999 4*

Includes domestic and foreign IPOs (NNM and SCM), best-efforts and bank demutualizations. Excludes unit investment trusts and fully classified closed-end funds.


Source: NASDAQ, EquiDesk


10/18


IPO Market Value of NASDAQ-Listed Companies

Number of NASDAQ Issues by IPO Market Value

Greater than $ Billion

Between $ Million and $ Billion

Below $ Million


* As of Sept 20th, 2004.Source: NASDAQ, EquiDesk, FactSet Research Systems, Inc.


11/18


Consumer

Energy & Utilities

NASDAQ-Listed IPOs by Industry

Types of companies that are going public has changed over the last five years.

Number of NASDAQ-Listed IPOs by Sector

Financials

Health Care

Industrials

Telecom & Technology

2000 2002

2001 2003 200

2

0

22 3

2

1

1

1

1

11

3

23

2

3

10

2

12

13


* As of Sept 20th, 2004.Source: NASDAQ, EquiDesk


12/18


Date: February , 200 Austin, TX

Total shares offered: 10 Million shares @ $13.00

Lead Underwriter: Morgan Stanley

Central Region: Recent IPOs

Source: Equidesk, as of 08/19/2004, FastSet Research Systems, as of 8/19/2004

Recent Texas IPOs:

Date: January 13, 200 Dallas, TX

Total shares offered: 2.31 Million shares @ $1 . 0

Lead Underwriter: A.G. Edwards & Sons, Inc.

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13/18


Date: June 2 , 200 Austin, TX

Total shares offered: Million shares @ $10.00

Lead Underwriter: J.P. Morgan Chase & Co.

Central Region: Recent IPOs

Recent Texas IPOs:

Date: June 23, 200 Houston, TX

Total shares offered: Million shares @ $ . 0

Lead Underwriter: Friedman Billings Ramsey

Date: July , 200 Addison, TX (Dallas Area)

Total shares offered: 8.17 Million shares @ $1 .00

Lead Underwriter: Piper Jaffray

Source: FastSet Research Systems, as of 8/19/2004

Date: August 1 , 200 Sugar Land, TX

Total shares offered: .72 Million shares @ $11. 0

Lead Underwriter: eefe, Bruyette & oods


14/18


Listing on NASDAQ


15/18


Market Structure

Superior Trading Characteristics (based on SEC 11ac1-5 data)

Open, Competitive Market Delivering Best Executions for Investors

Greater Visibility

More Analyst Coverage (Multiple Market Maker System)

Better Services and Support

Insight and Analysis Tools for Trading, Ownership and Peer Comparisons

Superior Value for isting $

isting ees are less on NASDAQ vs. NYSE

Why do Companies list on NASDAQ?


16/18


NASDAQ National Market Listing Requirements

1 For Initial listing under Standard 3, a company must satisfy one of the following: the market value of listed securities requirement or the total assets and the total revenuerequirement. Under Marketplace Rule 4200(a)(19), listed securities is defined as securities quoted on NASDAQ or listed on a national securities exchange.

2 Seasoned companies (those companies already listed or quoted on another marketplace) qualifying only under market value of listed securities requirement of Standard 3 mustmeet the market value of listed securities and the bid price requirement for90 consecutive trading days prior to applying for listing.

3 Publicly held shares is defined as total shares outstanding less any shares held by officers, directors or beneficial owners of10% or more.4 R ou nd l ot ho lder s ar e c ons ide re d h ol de rs of 100 shares or more.

5 An Electronic Communications Network (ECN) is not considered a market maker for the purposes of these rules.6 Marketplace Rules 4350 and 435 1.

NASDAQ National Market Listing Requirements


17/18


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NYSE Initial Fees

NASDAQ Initial Fees

NYSE Annual Fees

NASDAQ Annual Fees

Shares Outstanding (Millions)

Comparative Listing Fees

Source: Domestic listing fees for NASDAQ and NYSE; based on NASDAQ fees as of 01/02 and NYSE as of 01/03.

Initial & Annual Listing Fees ORIGINAL LISTING FEES[1] CONTINUING ANNUAL FEES [2]NASDAQ NASDAQ

SHARES National National

(MILLIONS) Market NYSE Market NYSE [3]

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Source: Domestic listing fees for NASDAQ and NYSE; based on fees as of January 20 03.

NASDAQ has lower listing fees for all levels of shares outstanding

Listing Fees


18/18


Status of NASDAQand the IPO Market

Demetrios N. SkalkotosVice President

The NASDAQ Stock Market

Documents

03-Skalkotos Nasdaq Houston Speech Update