Regulatory Alerts2016-01-01
Board of Directors Decision No. (138) of 2016 Amending Decision No. (11) of 2014 on the Rules for Listing and Delisting Securities on the Egyptian Exchange
The Egyptian Financial Supervisory Authority issued Board Decision No. 138 of 2016 to amend Decision No. 11 of 2014 regarding the Egyptian Exchange's listing and delisting rules. The amendment mandates that listed companies must honor existing shareholders' pre-emptive subscription rights during cash capital increases unless explicitly waived by the Extraordinary General Assembly, and requires standardized public offering announcements coordinated with the Authority and Misr for Clearing. Additionally, it establishes a separate trading mechanism for pre-emptive rights during the subscription period, mandates their delisting post-subscription, and obligates companies to submit semi-annual reports for two years detailing the utilization of raised capital within standard financial disclosure schedules.