Circular

The Securities and Exchange Commission (“the Commission”) hereby draws the attention of Issuing Houses to the due diligence requirement for a “No-Objection” letter from “primary regulators” of Issuers, especially those in the Banking and Insurance sectors, as a prerequisite for the Commission’s approval of proposed transactions.

In a bid to further improve the Commission’s transaction turn-around period, Issuers would henceforth be required to obtain the reference letter of “No-Objection” from their respective primary regulators and file same along with other application documents presented to the Commission.

The letter of No-Objection should cover the following:

• Confirmation that there has not been any material change(s) in the financial statements of the Issuer/Sponsor from the last accounting year end to date;
• Names of current members of the Board of Directors; and
• No objection to the proposed issuance.

 

Please be informed that where in relevant instances, an application is not accompanied by a letter of “No-Objection”, such submission will be considered to be incomplete and would not be processed.