Karachi: The Securities and Exchange Commission of Pakistan (SECP) has proposed revisions to amendments in the Pakistan Stock Exchange (PSX) regulations concerning the listing of companies under a Scheme of Arrangement. These amendments, initially introduced on October 7, 2024, sought public feedback as part of Section 7 of the Securities Act, 2015.

The proposed changes aimed to align the treatment of companies attaining listing through a Scheme of Arrangement with those applying via an Initial Public Offering. Following the public consultation period and approval from the PSX Board, the amendments were forwarded to the SECP for final approval.

The SECP has now suggested additional changes after a comprehensive review. A key stipulation is that "no unlisted company can list or attain the listing status through the Scheme of Arrangement, except in case of demerger of Operating Business Segment of a listed company into an unlisted company and shares of unlisted company are issued to the shareholders of the listed company." This proposal is intended to ensure parity and compliance in the listing process.

According to information available from the Pakistan Stock Exchange (PSX), these revisions are being communicated to all relevant stakeholders, who are encouraged to examine the changes thoroughly. Interested parties have until April 16, 2025, to submit their written comments, following the procedures outlined in the 'Guidelines for Submission of Comments,' attached as Exhibit A.

The designated market category remains a critical focus as stakeholders are expected to engage in the consultation process to ensure comprehensive feedback on the proposed amendments.