Karachi, The Pakistan Stock Exchange (PSX) is undertaking significant measures to boost transparency, fairness, and integrity in the market, particularly for investor protection. In this pursuit, PSX has proposed amendments to its regulations and changes to Forms 3 and 7 of the Correspondence Manual, aimed at enhancing off-site monitoring of listed companies and improving financial disclosures.
Enhanced Off-Site Monitoring of Listed Companies:
PSX currently ensures compliance by listed companies with ongoing reporting and disclosure obligations. The proposed amendments aim to extend this monitoring to additional disclosures required under the Companies Act, 2017, and various SECP regulations.
The proposed changes will empower PSX to conduct regular off-site monitoring based on risk-based criteria and to take disciplinary action against non-compliant companies. Key features include:
Selection of companies for monitoring based on risk.
Regular reviews to ascertain compliance with SECP-prescribed disclosures.
Power to require documentation and information from companies, directors, executives, and external auditors.
Authority to initiate disciplinary actions for non-compliance.
Option to refer matters to SECP for further investigation.
Changes to Forms 3 and 7 for Financial Disclosures:
Currently, listed companies disclose quarterly and annual financial results using Forms 3 and 7 of the Correspondence Manual, focusing on specific information like profit or loss statements and auditor's observations.
PSX proposes to expand these forms to include comprehensive financial statements right after board meetings. This change aims to provide investors with complete financial insights, including:
Statement of Financial Position
Statement of Other Comprehensive Income
Statement of Changes in Equity
Statement of Cash Flows
Detailed Notes to Financial Statements
Auditor's Report and Review Report
Invitation for Public Comments:
PSX invites public comments on these proposed changes. Interested parties can submit their feedback via email or mail, following specific guidelines for submission. All comments will be reviewed, and respondents can request confidentiality if needed.
PSX aims to publish a Response Paper on its website post the public consultation session, subject to regulatory concurrence by the SECP.
The deadline for submitting comments on these proposed amendments is January 31, 2024. These initiatives by PSX reflect its commitment to enhancing market integrity and providing robust, transparent financial information to investors.
Karachi, Bank Makramah Limited, formerly known as Summit Bank Limited, has announced a proposed right issue of 65%, according to the latest Pakistan Stock Exchange (PSE) market report dated January 22, 2024. This move by the bank signifies a significant capital raising effort, aiming to strengthen its financial position. The announcement comes as part of the bank's strategic financial planning, although specific details regarding the utilization of the raised capital were not disclosed in the report.