Over the last 10 years, four different companies have acted as a nominee advisor, also known as a nomad, for Sirius Petroleum.
A nomad is a private company which carries out due diligence on a company that wants to list on AIM. A company’s nomad is then responsible for the oversight and guidance of the company throughout its listing.
Each nomad is also paid by the company it regulates and sometimes acts as its broker advising it on the price of shares and investment opportunities. This means nomads can have a vested interest in the company they advise doing well on AIM.
This creates grounds for conflicts of interest.
There are currently 31 nomads operating on AIM, carrying out due diligence for nearly 950 listed companies.
