Kuala Lumpur, 6 February 2009
SC and Bursa Malaysia Invite Comments on New Listing Guidelines and Requirements
The Securities Commission (SC) and Bursa Malaysia Securities Berhad (Bursa Malaysia) today published consultation papers seeking public feedback on the proposed guidelines and requirements for listings and equity fund-raising.
The proposed guidelines and requirements form part of the changes to the regulatory framework undertaken by the SC and Bursa Malaysia to enhance the competitiveness and to strengthen the positioning of the Malaysian equity market. The changes include the creation of a unified board for established corporations and the repositioning of the existing MESDAQ Market to a sponsor-driven alternative market for corporations from all business sectors (new MESDAQ). Under the new framework, existing corporations listed on the Main Board and Second Board are proposed to be transferred to the unified board while those listed on the existing MESDAQ Market, to the new MESDAQ.
On the whole, the proposed regulatory framework for the unified board and new MESDAQ is envisaged to provide issuers with greater access to the capital market, while at the same time, continue to protect investors’ interest through enhanced standards of disclosure and corporate governance.
As part of the effort to inject both breadth and depth to the Malaysian capital market, the SC and Bursa Malaysia are also taking this opportunity to seek comments on the proposed framework for the listing of Special Purpose Acquisition Companies (SPAC). Such listing will serve as a vehicle for fund-raising which in turn can spur corporate activities such as mergers and acquisitions.
The SC and Bursa Malaysia have undertaken benchmarking studies and engagements with various focus groups prior to finalising these consultation papers. An industry working group, comprising subject matter experts, was also established to assist the SC and Bursa Malaysia in formulating the new regulatory framework.
Market participants are encouraged to refer to the consultation papers for details on the key proposed amendments that are specific to the SC’s Guidelines on the Offering of Equity and Equity-Linked Securities (Equity Guidelines) and Bursa Malaysia’s Listing Requirements.
The consultation paper in relation to the SC’s Equity Guidelines and SPAC are available here on the website of the SC while the consultation papers in relation to the Listing Requirements are available on Bursa Malaysia’s website at www.bursamalaysia.com. The SC and Bursa Malaysia invite comments on the issues set out in the consultation papers by 27 February 2009.
ISSUED JOINTLY ON BEHALF OF
SECURITIES COMMISSION MALAYSIA & BURSA MALAYSIA SECURITIES BERHAD