Regulatory Alerts2014-01-01
Decision No. 443 of 2014 Regarding Requirements for Obtaining the Authority's Non-Objection for Listing Securities of Companies Listed on the Egyptian Exchange on Foreign Exchanges
The Egyptian Financial Supervisory Authority (EFSA) issued Decision No. 443 of 2014 to regulate the process for Egyptian companies listed on the Egyptian Exchange to obtain approval for cross-border listing of their securities on foreign exchanges. The decision caps foreign trading conversions at one-third of a company's capital, mandates detailed applications verifying foreign regulatory alignment with IOSCO standards, and imposes strict disclosure, clearing, and aggregate ownership reporting obligations on both the listed entities and the Egyptian Central Clearing, Depository and Registry Company. The regulatory non-objection remains strictly conditional upon continuous compliance with these cross-border listing controls, market stability safeguards, and the mandatory conversion of foreign currency sale proceeds into regulated Egyptian banks within thirty days.