Karachi: The Pakistan Stock Exchange (PSX) has noted an unusual movement in the share prices of Dedex Eternit Limited ("DADX") and has called on the company to provide an explanation. This move comes as part of a compliance check under the Securities Act, 2015, and PSX regulations following the observed volatility in DADX’s shares during the recent period.

Under Section 97 of the Securities Act and clause 5.6.3 of PSX Regulations, listed companies like DADX are compelled to promptly report any developments or matters that may influence such unusual movements in their share prices. They must disclose known pertinent information or confirm the absence of such developments impacting their securities.

According to information available from the Pakistan Stock Exchange (PSX), this requirement is intended to maintain market stability by ensuring transparency and preventing the dissemination of unfounded rumors which may affect investor decisions and market dynamics. Companies must communicate any relevant, price-sensitive information swiftly through the PSX, which then shares it with the public.

DADX is therefore required to investigate the causes behind the recent share price movements and report its findings. This will clarify whether the fluctuations were due to internal developments within the company or external factors impacting its market performance. The forthcoming disclosure is critical for maintaining fair trading practices and safeguarding investor interests.