SC issues guidance notes on share splits
No need for principal adviser to submit proposal, 3 months to implement

The Securities Commission (SC) today released a set of guidance notes on share splits for public listed companies (PLCs).

Guidance Note 8A issued pursuant to Chapter 8 (Equity Offerings) of the Policies and Guidelines on Issue/Offer of Securities state, amongst others, that listed companies need not appoint a principal adviser to submit such proposals, and that approved share split exercises must be implemented within three months.

The SC said it would consider share split proposals based on the declaratory approach, and would take into account corporate governance and national interest or public policy aspects of the proposals as outlined in main guidelines, in assessing share spilt proposals.

Guidance Note 8A is available on the SC website here

Securities Commission
18 November 2003