Bursa Malaysia Amendment To LR: Maintenance Of Minimum Capital Requirements As A Continuing Listing Obligation

Bursa Malaysia Berhad would like to announce that with immediate effect, pursuant to the new Paragraph 8.16A of Bursa Malaysia Securities Berhad Listing Requirements (Bursa Securities LR), the exchange requires listed issuers to maintain the minimum issued and paid-up capital as stipulated under Paragraphs 3.04(1) and (2) of the Bursa Securities LR (Minimum Capital Requirements) as a continuing listing obligation.

Under Paragraphs 3.04(1) and (2) of the Bursa Securities LR, applicants for listing on the Main and Second Board must have a minimum issued and paid-up capital of RM60 million and RM40 million, respectively. The new Paragraph 8.16A has been approved by the Securities Commission (SC). With this amendment, all listed issuers will need to ensure that they maintain the Minimum Capital Requirements on a continuous basis.

Md Nor Ahmad, Chief Regulatory Officer of Bursa Malaysia Berhad, said that the new requirements will enhance liquidity in trading and promote investor confidence.

Whilst Paragraph 8.16A takes effect immediately, listed issuers that are not in compliance with the Minimum Capital Requirements todate shall be given an extension of time of 6 months from 28 October 2004 or such extension of time as has been granted by the SC for the implementation of their proposals, whichever is later (Extension of Time). In this respect, Bursa Malaysia may impose a suspension on the trading of the securities of listed issuers which have failed to rectify its non-compliance with the Minimum Capital Requirements by the expiry of the Extension of Time.