Vol. 4 Num 293 Wed. March 24, 2004  

Bourses asked to finalise enlistment of cos in 75 days

The Securities and Exchange Commission (SEC) has asked bourses to make final decision on enlistment of companies within 75 days of application submission.

The capital market watchdog in a directive yesterday asked the Dhaka Stock Exchange and Chittagong Stock Exchange to communicate their final decision on granting or non-granting of listing applications to the company and the SEC within the deadline.

In case of non-granting, the stock exchange will have to specify reasons, the SEC directive said.

Within the set period, the bourses are expected to complete verifying of the investment plan papers and documents.

The SEC also asked bourses to take appropriate measures for amending relevant provisions of listing their regulations in line with the directive.

Sources said SEC has set the deadline to ensure investors' interest in secondary market. In the past, many applications were kept pending in stock exchanges for months and even years.

Also in the past some applications were denied listing without assigning any specific reason.