The Securities Commission Malaysia (SC) and Bursa Malaysia have proposed LEAP Market enhancements to improve fundraising access for MSMEs and mid-tier companies.
The proposal follows the LEAP Market 2.0 announcement by Finance Minister II Datuk Seri Amir Hamzah Azizan in March 2026.
It aims to create a smoother route for smaller businesses and mid-tier companies moving from private fundraising to the public market, while supporting the SC’s Capital Market Masterplan 2026-2030 and its five-year roadmap for MSME and MTC access to the capital market.
SC Chairman Dato’ Mohammad Faiz Azmi said the move represents a major step in building a more inclusive capital market for MSMEs and MTCs under the CMP.
“It reinforces our funding escalator, lowering costs, while improving access to growth capital through a more facilitative regulatory environment.”
He added that one ECF issuer has transitioned to the LEAP Market, while 10 LEAP Market-listed companies have migrated to the ACE Market.
Malaysia has a strong pool of addressable candidates for capital market fundraising with approximately 8,500 MTCs.
The proposal enables a visible and smoother listing pathway for MTCs and MSMEs,”
he added.
Alternative Route for ECF Issuers
Under the proposal, eligible equity crowdfunding issuers with a proven fundraising track record may apply for listing through an alternative admission route.
They may submit listing applications without an approved adviser, with equity crowdfunding registered market operators or venture capital and private equity firms acting as listing agents to liaise with Bursa Malaysia.
Eligible issuers must have raised at least RM5 million through equity crowdfunding platforms and, where applicable, VC or PE firms within the past seven years.
They must appoint a continuing adviser after admission to the LEAP Market.
The proposal also introduces a simplified disclosure document that keeps essential investor information while making submissions more structured and consistent.
Retail Investors to Gain Access
Retail investors will be allowed to participate in the LEAP Market, which is currently limited to sophisticated investors.
Their participation will be capped at RM250,000 at any point in time, with a RM100,000 limit per issuer in the primary market and RM100,000 per broker in the secondary market.
Advisers may also receive up to 50% of their advisory fees in ordinary shares of the applicant, subject to safeguards including a 2% shareholding limit per adviser, a 5% aggregate cap for all advisers and a six-month moratorium on disposal of the shares.
The transfer process from the LEAP Market to the ACE Market will also be eased, allowing eligible companies to transfer after at least two years on the LEAP Market without withdrawing their listing or making an exit offer.
Bursa Malaysia’s Chief Executive Officer, Dato’ Fad’l Mohamed said,
“These enhancements introduce greater flexibility in admission pathways, more streamlined disclosures and broader investor participation.
Together, these measures are aimed at supporting MSMEs and MTCs as they participate in and grow through the capital market, while strengthening capital formation, reinforcing market depth and transparency, and maintaining appropriate standards of investor protection for a qualified market.”
Bursa Malaysia issued a public consultation paper on 18 May 2026 to seek feedback on the proposed amendments to the LEAP Market and ACE Market Listing Requirements.
The consultation closes on 15 June 2026.
Featured image: Edited by Fintech News Malaysia, based on image by PAKMUD via Magnific
