What Is the New Notification Requirement About?
The Singapore Exchange ("SGX") has announced that it is enhancing its processes for dealing with unusual trading activities.
Among the changes is a new requirement to notify the SGX without delay in certain situations where there are discussions or negotiations that are likely to result in any of the following transactions (the "Specified M&A Transactions"):
- Takeover of the issuer, which includes a scheme of arrangement or delisting;
- Reverse takeover of the issuer; or
- Very substantial acquisition by the issuer.
This new requirement affects transactions involving both Mainboard issuers as well as Catalist issuers. Practice Note 7.2 of the SGX Listing Rules for Mainboard issuers and Practice Note 7B for Catalist issuers have been amended accordingly.