In a significant milestone for India’s small and medium enterprises, nearly 360 companies have successfully transitioned from the SME platforms of the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) to their mainboards. This migration underscores the growing maturity and resilience of the SME sector in the country.
Data compiled by B2K Analytics reveals that 199 companies from BSE’s SME platform and 158 from NSE’s Emerge platform have now listed on the mainboard. This shift allows these firms to access a broader investor base and gain enhanced market visibility.
Migration to the mainboard means a company moves its shares from the dedicated SME exchange to the primary stock exchange segment. This step opens doors to greater capital inflows and improved credibility. Ritaban Basu, CEO of B2K Analytics, highlighted the key advantages, stating that mainboard listing provides superior opportunities to raise funds from both retail and institutional investors.
‘Beyond access to larger capital pools, mainboard presence elevates a company’s reputation, making it easier to attract top talent,’ Basu noted. ‘Compliance with stringent regulations enhances valuation, while increased share liquidity offers investors smoother exit options.’
To qualify for migration, SME-listed companies must meet rigorous criteria, including an average market capitalization exceeding Rs 100 crore and consistent operating profits above Rs 15 crore for three years, with no single year dipping below Rs 10 crore. Firms must also demonstrate three years of operations in the same business, with over half their revenue from core activities.
Sector-wise, textiles lead with 44 companies making the jump, followed by machinery, equipment, and components (33 firms), and food & tobacco (29 firms). The report also points to a surge in SME listings and fundraising: from 179 companies raising Rs 4,823 crore in 2023 to 268 firms mobilizing Rs 12,105 crore recently—a more than doubling in just two years.
This trend signals robust growth in India’s SME ecosystem, poised to fuel economic expansion through expanded market access and capital efficiency.