Regulatory Alerts2019-05-24
Added · Updated
Companies (further issue of shares) Regulations 2018
The Securities and Exchange Commission of Pakistan establishes regulations governing the issuance of further shares, including right issues, bonus shares, and shares issued to specific persons or through employee stock option schemes. The rules impose strict conditions on listed companies, such as a one-year cooling-off period between capital raises, mandatory board approvals, and specific pricing constraints based on market value and free reserves. Companies must adhere to detailed disclosure, reporting, and underwriting requirements, with penalties for delays or non-compliance, including mandatory newspaper publications and Commission permission for extensions.
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