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Bursa Malaysia Securities Berhad (“Bursa Securities”) today announced key amendments relating to the listing of foreign companies in Malaysia, structured warrants and related party transactions in its Listing Requirements (“LR”) and Listing Requirements for the MESDAQ Market (“MMLR”). The amendments are aimed at enhancing market diversity and accessibility in addition to improving efficiency.
Chief Legal Officer of Bursa Malaysia Berhad, Selvarany Rasiah commented, “The amendments, particularly in relation to listing of foreign companies and structured warrants, are aimed at increasing the pool of high quality stocks on Bursa Securities as well as diversifying the market’s listed offerings.”
The amendments relating to the listing of foreign companies in Malaysia which are provided under the LR are as follows:
- Foreign companies seeking or which have a primary listing on Bursa Securities must comply fully with the LR and specific obligations imposed.
- Companies seeking or which have secondary listing on Bursa Securities must comply fully with the rules of their home exchange and specific obligations imposed under the LR.
As for the changes to the requirements for structured warrants in the LR and MMLR, the continuing listing obligations in respect of foreign issuers have been enhanced to ensure adequate protection for local investors of structured warrants.
Amendments to the LR and MMLR pertaining to related party transactions permits a bigger pool of qualified persons to act as independent advisers, essentially reducing the cost of compliance. Efficiency in conducting business is further enhanced for companies listed on the MESDAQ Market as a minimum threshold has been added to the obligations for related party transactions. As such, companies only need to make immediate announcement and/or procure shareholders’ approval for related party transactions if the minimum threshold is triggered.
All the above amendments are effective immediately. The complete text of the amendments is available for reference along with a set of frequently asked questions and answers on Bursa Malaysia’s website at www.bursamalaysia.com
