Position COSOB No. 1/2026 on Encouraging Access for High-Growth Innovative Companies to the Growth Segment of the Securities Exchange

The People's Democratic Republic of Algeria
Commission for the Organization and Supervision of Stock Exchange Operations – COSOB – Position No. 1/2026 Regarding the encouragement of access for innovative companies with high growth potential to the growth segment of the securities exchange

The Commission for the Organization and Supervision of Stock Exchange Operations,

• Considering that the development of the financial market constitutes a lever for diversifying sources of financing for the national economy and supporting business growth;
• Considering the particular importance attached to the development of innovative companies, particularly regarding access to financing and the mobilization of savings;
• Considering that the Growth Segment of the Securities Exchange constitutes a suitable framework for the access of small and medium-sized enterprises and innovative companies to market financing;
• Considering that Article 46 of COSOB Regulation No. 23-04 provides that the company seeking admission of its capital securities for trading on the Growth Segment must have published the certified financial statements for the last two financial years, unless a waiver is granted by the Commission;
• Considering that the limited duration of existence of certain innovative companies may, by nature, not allow them to satisfy this condition, even though their level of maturity, business model, growth prospects, and financing needs may justify recourse to the financial market;
• Considering that it is appropriate, in the interest of transparency, equal treatment, and investor security, to specify the conditions under which the Commission intends to exercise the waiver power granted to it by the aforementioned Article 46;
• Considering that this approach is part of a policy encouraging and promoting the listing of innovative companies on the stock exchange, without compromising the requirements of transparency, market information, and investor protection;
• In accordance with Resolution No. X of the minutes of the commission meeting held on September 29, 2026;
  Adopts this Position:

1. Purpose
   This Position aims to specify the framework within which the Commission may grant, to innovative companies with high growth potential, the waiver provided for in Article 46 of COSOB Regulation No. 23-04 of October 25, 2023, establishing the General Regulation of the Securities Exchange. It aims to facilitate the access of these companies to financing through the financial market, taking into account their specific characteristics and stage of development. It reflects the COSOB's willingness to promote, within the scope of its competencies, the development of an ecosystem allowing these companies to diversify their sources of financing and progressively access the financial market. This approach is implemented in respect of the principles of transparency, market integrity, and investor protection.

2. Principle
   The Commission may grant a waiver to the condition provided for in Article 46 of COSOB Regulation No. 23-04 when the duration of existence of the company does not allow for the production of two closed and certified financial years, and when the available elements allow for a sufficiently reliable assessment of:

• the reality of its activity;
• its level of maturity;
• the viability of its business model;
• its development prospects;
• its financing needs;
• the main risks to which it is exposed.
  The granting of the waiver is subject to the Commission's assessment and does not constitute a right for the candidate company.

3. Scope of Application
   Companies benefiting from the mechanism provided by this Position may be:

• holders of the 'Start-up' or 'scale-up' label in accordance with current legislation and regulations;
• whose duration of existence does not allow for the publication of two closed and certified financial years;
• which have effectively started their activity or possess a level of operational maturity allowing for the assessment of its reality and prospects;
• presenting a development project requiring or justifying recourse to market financing;
• possessing an identified business model and presenting significant growth prospects.
  This Position applies to admission requests to the Growth Segment submitted by companies meeting the aforementioned conditions.

4. Assessment Criteria
   For the examination of the waiver request, the Commission assesses in particular:

• the reality and level of maturity of the activity;
• the quality and viability of the business model;
• the commercial traction of the company, assessed in light of indicators adapted to its activity;
• the growth prospects of the market in which it operates;
• the quality of governance and the experience of the management team;
• the financial situation of the company and the own resources it possesses;
• the financing needs and the projected use of funds to be raised;
• the coherence of the development plan;
• the main risks related to the activity and business model.

5. Assessment of Company Maturity
   The assessment of the company's maturity may take into account in particular:

• the revenue generated;
• the number of clients or users;
• the evolution of the activity;
• commercial contracts concluded;
• orders registered;
• strategic partnerships;
• recurring revenues, if applicable;
• technological assets or intellectual property;
• research and development expenses;
• any other relevant indicator in light of the company's business model.
  The selected indicators are assessed based on the nature of the activity and the stage of development of the company.

6. Financial Information
   When two certified financial years are not available, the candidate company produces the available accounting and financial statements allowing for the assessment of its situation. The Commission may request any additional financial information it deems necessary for the examination of the request.

7. Development Plan
   The waiver request is accompanied by a development plan covering a period allowing for the assessment of the company's prospects.
   This plan presents in particular:

• development objectives;
• growth assumptions;
• investment needs;
• financing needs;
• financial projections;
• working capital needs;
• main development milestones;
• risks likely to affect the achievement of objectives.

8. Duties of the Stock Exchange Promoter
   The Stock Exchange Promoter proceeds, within the framework of its mission, to the necessary due diligence to assess the company's situation and its listing project in accordance with current regulations. The Stock Exchange Promoter reports to the Commission on the due diligence performed and any reservations or observations made in this context.

9. Company Valuation
   When the absence of a significant financial history does not allow valuation based solely on historical performance, the company's valuation may use methods adapted to its stage of development and the nature of its activity. The information notice exposes the valuation methods selected as well as the main assumptions and associated sensitivities.

10. Specific Information for Investors
    When the waiver provided for in Article 46 of COSOB Regulation No. 23-04 is granted, the information notice must clearly and prominently specify the reasons for the waiver.

11. Allocation of Raised Funds
    The company must specify the allocation of funds to be raised within the framework of its stock exchange listing.
    This allocation is presented in sufficient detail to allow investors to assess the coherence between the resources sought and the company's development objectives. Particular attention is paid to investment expenses, research and development, commercial expansion, and, if applicable, working capital needs.

12. Support and Monitoring Measures
    The company admitted under this Position remains subject to the information obligations provided for by current legal and regulatory provisions.
    Without prejudice to these obligations, the Commission may, when the company's characteristics justify it, request the communication of additional information regarding in particular:

• the evolution of the activity;
• the implementation of the development plan;
• the use of raised funds;
• the evolution of the financial situation;
• any event likely to significantly affect the company's prospects.

13. Investor Protection
    The granting of the waiver to the financial history condition should not have the effect of reducing the requirements applicable in terms of information, transparency, and investor protection. The candidate company must make available to the market information allowing investors to assess, with full knowledge of the facts, the characteristics, prospects, and risks associated with their investment.

14. This Position enters into force as of its date of publication.
    Made in Algiers, on September 29, 2026