SECP amends regulations for ‘share issue’

The Securities and Exchange Commission of Pakistan (SECP) on Wednesday revamped the Companies (Further Issue of Shares) Regulations 2020 for listed companies allowing the investors to make informed decisions and implement them at a faster pace. The SECP has said that the examination of the historical cases of right issues by listed companies indicated that risk disclosures were minimal and provided limited information to investors even in cases of large issues. “These amendments have been introduced after studying practices in several jurisdictions, analysing global trends and thorough deliberations with the industry participants,” an SECP spokesperson said. The amendments in the capital issue regime are expected to bring the local market in line with global practices, he added.