During 2020 an unprecedented number of companies were admitted for trading on Euronext Growth Oslo (‘Growth’) as it became one of the most successful marketplaces in Europe for high-growth SMEs.
Growth is attractive to emerging businesses seeking capital because it offers a simplified admission process and is largely unregulated. Growth has proved to be popular among start-ups emerging through the advance of new technologies and the emergence of new markets leveraging global threats, the disruption caused by the pandemic, and the increasing focus on sustainability. However the less stringent regulations also increase the risk to investors placing capital in this market.
In this article, KPMG’s insights into Euronext Growth – the devil is in the details, we focus our analysis on the financial information reported to the market in 2020, analysing the quality, consistency and comparability of the information provided, covering five key areas:
- Accounting principles and significant judgements
- Alternative performance measures (APM)
- ESG disclosures
- Information pertaining to financing
- The quality of the business outlook reporting