Karachi: The Pakistan Stock Exchange (PSX) has announced the suspension of trading in the shares of six companies due to non-compliance with PSX regulations. This decision, communicated through PSX Notice No.PSX/N-1147 dated November 29, 2024, affects Abson Industries Ltd., Prudential Stocks Fund Ltd., English Leasing Ltd., Sadoon Textile Industries Ltd., Hakkim Textile Mills Ltd., and Suraj Ghee Industries Ltd. The suspension will remain in effect until the causes of non-compliance are addressed or for an additional 60 days starting January 29, 2025.
The regulatory non-compliance issues leading to the suspension include the failure to hold Annual General Meetings, non-submission of annual audited accounts, non-payment of dues to the Exchange, and the failure to induct ordinary shares into the Central Depository System (CDS). Additionally, several companies are facing winding-up petitions filed by the Securities and Exchange Commission of Pakistan (SECP) and creditors.
Abson Industries Ltd. faces suspension due to these compliance failures, coupled with the appointment of an official liquidator by the Court following a winding-up petition by its creditors. Similarly, Prudential Stocks Fund Ltd. and English Leasing Ltd. are under suspension as SECP has filed winding-up petitions against them in court for similar compliance failures.
Sadoon Textile Industries Ltd. is also facing the suspension due to an SECP order initiating winding-up proceedings. Hakkim Textile Mills Ltd. and Suraj Ghee Industries Ltd. are dealing with winding-up petitions filed by SECP, while Suraj Ghee Industries Ltd. also faces petitions from its creditors.
According to information available from the Pakistan Stock Exchange (PSX), the suspension decision is in accordance with Sub-Section (7) of Section 19 of the Securities Act, 2015, and clause 5.11 of the PSX Regulations. The market category of these companies has been significantly impacted due to their inability to meet the required compliance standards.
The PSX urges the affected companies to rectify the issues promptly to resume trading activities as soon as possible. The continuation of these suspensions could have long-term impacts on the companies' financial stability and investor confidence, emphasizing the importance of adherence to regulatory requirements.