Bursa de­nies dual-class list­ing plan

New Straits Times - - Business | News -

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.

BLOOMBERG PIC

In a state­ment, Bursa Malaysia says its po­si­tion has been mis­un­der­stood and taken out of con­text, and it re­mains com­mit­ted to up­hold­ing mar­ket in­tegrity.

Newspapers in English

Newspapers from Malaysia

© PressReader. All rights reserved.