Karachi: First Elite Capital Modaraba (FECM) has been advised to provide clarifying information following unusual movements in the price of its certificates, as observed by the Pakistan Stock Exchange (PSX). The movements occurred during the preceding period, necessitating a response from FECM in compliance with regulatory requirements.

On October 5, 2023, the PSX highlighted the unusual price shifts, referencing the obligations under Section 97 of the Securities Act, 2015, and clause 5.6.3 of PSX Regulations. These stipulate that listed companies must disclose any relevant developments that may have influenced the price or volume of their traded securities. Alternatively, if no such information is available, companies must explicitly state their unawareness of any contributing factors.

According to information available from the Pakistan Stock Exchange (PSX), FECM is required to provide adequate information to clarify its stance on the observed price fluctuations. This action is essential to ensure that material or price-sensitive information, which could impact the price or volume of shares, is promptly communicated to the public. The dissemination of such information is a mandatory process as outlined in PSX Regulation 5.6.1.

In compliance with PSX Regulation 5.6.3, FECM is expected to utilize PUCARa, the designated market category, to furnish the necessary public information. This measure is aimed at maintaining transparency and informing stakeholders of any factors that may have contributed to the unusual market activity surrounding FECM’s certificates.