Karachi: Saritow Spinning Mills Limited (SSML) will be placed in the Pakistan Stock Exchange's (PSX) Defaulters' Segment, soon to be renamed as the Non-Compliant or Winding-up Segment, due to non-compliance with PSX Regulation 5.11.1.(g) following an adverse opinion by its statutory auditor. The action will take effect on December 5, 2024.

The statutory auditor of SSML issued an adverse opinion in its audit report for the year ending June 30, 2024. According to PSX Regulation 5.11.1.(g), a listed company can be placed in the Non-Compliant Segment if its statutory auditor issues a disclaimer or an adverse opinion in the audit report. This adverse opinion has prompted the PSX to take regulatory action against SSML.

According to information available from the Pakistan Stock Exchange (PSX), once a company is placed in the Non-Compliant Segment, the exchange will initiate actions under regulation 5.11.3(a) and 5.11.3(b). These regulatory measures are aimed at addressing and rectifying the compliance issues identified in the audit report.

All stakeholders and concerned parties have been requested to take note of the upcoming changes regarding the placement of Saritow Spinning Mills Limited in the Non-Compliant Segment.