The Securities and Exchange Commission has approved rules governing BATS Global Markets’ new U.S. primary listings business.
BATS announced on Tuesday that the rules had gotten the all-clear from regulators. The listings business is scheduled to launch in December.
As a new primary listings venue, BATS plans to provide issuers an alternative place for initial public offerings, stock listing transfers and dual-listed stocks. All securities will be listed on the BATS BZX Exchange.
BATS is currently the third largest U.S. stock exchange operator, behind Nasdaq OMX and NYSE Euronext.
Joe Ratterman, president and chief executive of BATS, said the company is excited to bring competition to the primary listings market in the U.S.
“We believe there is a great opportunity to satisfy unmet needs of current and future public companies and other issuers,” Ratterman said.
A competitive alternative to the incumbent exchanges will drive innovation in the market and allow issuers more choice, according to Ratterman.
Kansas City-based BATS is planning its own IPO for early next year.
