Does SGX care about small investors?

I REFER to R Sivanithy's incisive commentary, "SGX MTP extension a timely move" (BT, Dec 4).

The points made are certainly pertinent. While the extension does provide companies valuable time to explore options, the reality on the ground raises several questions. We are invariably facing the proverbial chicken-and-egg situation. The enforced consolidation results in fewer shares at play. Less liquidity causes share prices to go lower, slumped by the lack of trading. Where does this vicious cycle end?

Secondly, share prices are determined by many factors. Certainly, the quality of the company and the quality of its business (and hence earnings) are the primary factors. Some of the companies that the Singapore Exchange (SGX) gets concerned about are perennial underperformers. By forcing consolidation, is SGX solving the issue or delaying the inevitable ?