Regulatory Alerts2016-01-01
Circular No. 1 of 2016 Regarding Recent Amendments to the Listing and Delisting Rules of Securities on the Egyptian Exchange
The Egyptian Financial Supervisory Authority issued Circular No. 1 of 2016 to enforce recent amendments to the Egyptian Exchange's listing and delisting rules and align with newly implemented Egyptian Accounting Standards. The circular requires listed companies to disclose detailed board member statuses, expand mandatory board report contents to cover subsidiary ownership changes, executive share-based compensation, and related-party contracts, while imposing strict disposal controls on over 50% of company assets and regulating treasury share holdings by subsidiaries. Furthermore, it grants a one-time extension for first-quarter financial statement filings to allow auditors adequate time to adapt to the updated accounting standards, with specific deadlines adjusted for companies based on their fiscal year start dates.