Regulatory Alerts2015-07-01
Added · Updated
Book Building Regulations 2015
The Securities and Exchange Commission of Pakistan establishes regulations for public offerings via book building, applying to issuers, offerers, book runners, and designated institutions. The rules mandate a minimum offer size of twenty-five million shares, cap the book building portion at seventy-five percent of the total offer, and require the use of an electronic system operating on the Dutch Auction Method. Eligible investors must meet a minimum bid size of one million rupees, while restrictions prohibit bids below the floor price, consolidated bids, and participation by related employees. Book runners must be registered with the Commission, and the process allows for cancellation if fewer than forty bids are received or if no bids are made at the floor price.