Hong Kong Exchanges and Clearing Limited (HKEX) is pleased to announce today (Thursday) that its wholly-owned subsidiary, Hong Kong Securities Clearing Company Limited (HKSCC), will launch a new service to make it easier for investors to exercise their shareholder rights, such as to call general meetings, by facilitating the submission of requisitions to listed Issuers.
This new service, which will start on 21 December 2020, will enable investors to submit three types of requisitions to Issuers, without the need to withdraw eligible securities from the depository of the Central Clearing and Settlement System (CCASS). These requisitions are:
- To request the directors of an Issuer to call a general meeting;
- To request an Issuer to circulate to its members or securities holders a statement with respect to a matter mentioned in a proposed resolution to be dealt with at a general meeting or other business to be dealt with at that meeting; and/or
- To request an Issuer to give notice of a resolution that may properly be moved and is intended to be moved at an annual general meeting.
HKSCC will submit the requisitions to Issuers in the capacity as the nominee holder of the relevant securities on behalf of such investors.
Currently, investors are required to withdraw their eligible securities from the CCASS depository via CCASS Participants and have the securities re-registered in their own names before they can submit requisitions to Issuers to exercise their shareholder rights.
Under the new service, CCASS Participants may apply to HKSCC on behalf of investors to raise a requisition to an issuer in accordance with relevant rules and procedures.
For further details, please refer to the circular published today on the HKEX website.
