Egyptian Financial Supervisory Authority

Egyptian Financial Supervisory Authority

Chairman of the Board of Directors

Board of Directors Decision No. (138) dated 2016/11/27

Amending Board of Directors Decision No. (11) of 2014 Regarding the Rules for Listing and Delisting Securities on the Egyptian Exchange

Board of Directors of the Egyptian Financial Supervisory Authority

Having reviewed the Joint Stock Companies, Partnerships Limited by Shares and Limited Liability Companies Law issued by Law No. (159) of 1981 and its executive regulations; and the Capital Market Law issued by Law No. (95) of 1992 and its executive regulations and decisions issued in implementation thereof; and the Central Deposit and Registration of Securities Law issued by Law No. 93 of 2000 and its executive regulations; and Law No. (10) of 2009 regulating supervision over non-banking financial markets and instruments; and Presidential Decree No. (191) of 2009 on the provisions organizing the management and financial affairs of the Egyptian Exchange; and the Statutes of the Egyptian Financial Supervisory Authority issued by Presidential Decree No. (192) of 2009; and Board of Directors Decision No. (11) of 2014 regarding the Rules for Listing and Delisting Securities on the Egyptian Exchange and its amendments; and the approval of the Board of Directors on 2016/11/27.

Decision

(Article One)

Article (52) of the Rules for Listing and Delisting Securities on the Egyptian Exchange is replaced with the following text:

Article (52): Special Provisions on Subscription Pre-emptive Rights:

A company whose shares are listed on the Exchange shall, in all cases of cash capital increase, implement the pre-emptive rights of existing shareholders, unless the company's Extraordinary General Assembly decides to waive the exercise of pre-emptive rights upon capital increase, subject to Article (32) of the Executive Regulations of the Capital Market Law.

The capital increase announcement shall be prepared on the designated form after coordination with the Authority, the Exchange, and Misr for Clearing and Depositing Company, and must include all data required in the public offering prospectus for the capital increase.

(Article Two)

A new article numbered (52 bis) is added to the Rules for Listing and Delisting Securities on the Egyptian Exchange with the following text:

Article (52 bis): Trading and Delisting of Subscription Pre-emptive Rights:

The subscription pre-emptive right shall be traded separately from the original share during the period from the date the subscription right is listed separately on the first trading day of the share without the right after the subscription period opens, until three working days before the end of the subscription period, in accordance with the trading rules approved by the Authority.

The subscription pre-emptive right shall be delisted and removed from the Exchange's trading database after the expiration of the subscription period.

A company whose shares are listed for a cash-funded capital increase shall submit semi-annual reports for two years, according to the designated form, detailing the use of the capital increase proceeds and the measures taken regarding them, within the same financial statement disclosure schedules.

(Article Three)

This Decision shall be published in the Egyptian Gazette and on the websites of the Authority and the Egyptian Exchange, and shall take effect as of the day following its publication in the Egyptian Gazette.

Chairman of the Board of Directors
Sherif Samy

46076

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Egyptian Financial Supervisory Authority
Egyptian Financial Supervisory Authority

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