Bursa denies dual-class listing plan
KUALA LUMPUR: Bursa Malaysia has dismissed reports that it mulled allowing companies with dual-listing class share structures, adding that it had no plans to facilitate the listing of dualclass shares.
“There have been some misleading reports of late, which have caused confusion on Bursa Malaysia’s position on the listing of dual-class shares.
“Bursa Malaysia’s position has been misunderstood and taken out of context. In our pursuit to remain attractive and competitive, we are committed to upholding market integrity and ensuring sound investor protection in all our market development initiatives,” it said in a statement.
Bloomberg had previously reported that Bursa had considered allowing companies with dual-listing class share structures.
The structures, the report said, allowed company founders and leaders outsized powers, seen by investor advocates as undermining the “one share, one vote” system of corporate governance.
The report also said the approval by Malaysia’s bourse would mean opponents of the structures would face an increasing number of stock exchanges willing to list firms with multiple classes of stock.
It also quoted Bursa as saying that it may undertake a feasibility study and whether such a structure was suitable in the context of the Malaysian capital market.
In a statement, Bursa Malaysia says its position has been misunderstood and taken out of context, and it remains committed to upholding market integrity.