Can Tel Aviv stop Nasdaq taking all its tech IPOs?

Tel Aviv Stock Exchange (TASE) is poised to introduce a raft of measures aimed at stopping Israel's hottest companies from listing in the U.S..

Israel has a vibrant start-up scene but the TASE has struggled to lure in tech companies to go public at home. Instead firms like, which helps people build websites, opted to list on the tech-heavy Nasdaq in the U.S. Over half of the 25 companies looking to go public in 2015 and 2016 are considering the Nasdaq, according to the Israel Venture Capital Research Center .

Another big exit trend for Israeli companies is to look to be acquired rather than continue to grow with over 80 percent of company exits in 2014 down to acquisitions.

"We see a trend of companies that are exiting the market, probably too soon. When they reach growth they go to the United States or sometimes to London," TASE CEO Yossi Beinart, told CNBC in a TV interview.

To counter this, the TASE is introducing a set a new rules that are designed to make staying in Israel attractive. These would include allowing companies to report in U.S.-style accounting and providing analysis of companies for global investors.

Ariel Jerozolimski | Bloomberg | Getty Images

Beinart is also hoping to start an index that includes Tel Aviv-listed companies and those Israeli companies that are listed in the U.S. in a hope that it will be attractive to exchange traded funds.

"We believe that lowering regulations and conforming more with what's correct and what's available in the United States or in Europe, will help companies list," Beinart said.

The proposals are currently awaiting approval by parliament.

The TASE saw a small uptick in trading volumes in 2014, but this is still well below 2010 levels. Beinart said that companies listed dually in the U.S. and Israel see around 30 percent of trading done in Tel Aviv and hopes the new measures will boost liquidity further.

"We're trying to encourage and lure them to come in and hopefully when they do, they'll see an increase in trading. It is especially true for companies that are more Israeli-orientated and the Israeli companies and the Israeli institutions know them and they will trade them more."