Limits discretionary ability of the listed firm.
According to a release, Singapore Exchange (SGX) will codify in its SGX-Securities Trading (SGX-ST) Listing Rules the existing share buy-back limit of 10% for listed companies on both the Mainboard and Catalist with effect from 1 October 2013. Listed companies will be able to buy back up to 10% of its total number of issued ordinary or preference shares.
The rule limits the discretionary ability of the listed company to vary the supply of its shares. This is consistent with the move to introduce greater flexibility through an increase in the statutory share buy-back limit while preserving the present limit for listed companies under the SGX Listing Rules.
Do you know more about this story? Contact us anonymously through this link.