Karachi: The Pakistan Stock Exchange (PSX) has announced a suspension in the trading of shares for SME Leasing Limited (SLL) following the cancellation of its leasing license by the Securities and Exchange Commission of Pakistan (SECP). This action, in accordance with Clause 5.11.1.(h) of the PSX Regulations, was initially brought to the public's attention through PSX Notice No. PSX/N-1047 dated October 31, 2024.

The suspension notice included further updates in PSX Notice No. PSX/N-1305 on December 31, 2024, and PSX/N-074 on January 14, 2025, concerning the compliance deadline. SLL has been granted until January 29, 2025, to rectify the non-compliance issue. Failure to do so will result in PSX taking measures under PSX Regulation 5.11.3.(e), which may involve a compulsory buy-back directive to the major shareholders or sponsors of SLL.

According to information available from the Pakistan Stock Exchange (PSX), if SLL addresses the non-compliance of PSX Regulation 5.11.1.(h) within the designated timeframe, its shares will continue to be quoted in the Non-Compliant Segment. However, it will remain under the watch for non-compliance of PSX Regulation 5.11.1.(g), as the statutory auditor has issued an adverse opinion in its audit report, pending the resolution of all compliance issues.

This development underscores the importance of adherence to regulatory requirements within the designated market category, as failure to comply can significantly impact a company's operational and financial standing in the stock market.