Sale: Dar urges speeding up PSX’s divestment

SECP and PSX chairmen present finance minister with update

ISLAMABAD: Finance Minister Ishaq Dar on Saturday urged to speed up the divestment of Pakistan Stock Exchange keeping in mind national interest and development of the country’s capital market.

The minister made this reiteration during a meeting with high authorities of the Securities and Exchange Commission of Pakistan (SECP) and PSX chairman.  The SECP chairman along with PSX Chairman Muneer Kamal, presented an update to the minister on the progress made with respect to the divestment of shares of PSX.

The minister was briefed on expression of interest (EOIs) received from various national and international prospective buyers in relation to the divestment of 40% shares of the PSX lying in the blocked account to be sold to strategic investor(s) (SIs), and local financial institutions as required under the Stock Exchanges (corporatisation, demutualisation and integration) Act, 2012.

Recently, the divestment committee of PSX’s shareholders mandated to carry out the divestment had extended the timeline for submission of EOIs till August 15, 2016 in view of recent changes including Brexit, Pakistan’s inclusion in MSCI emerging markets and various important reforms witnessed by the capital market.

In the interim PSX is formulating a marketing strategy, to be implemented soon after Eid holidays, to present its case to local and foreign prospective investors.

The SECP chairman also briefed Dar on the progress made on the draft Companies Bill, 2016. He apprised the minister regarding the extensive consultative process undertaken by the SECP on advice of the minister and the quantum of feedback received from the general public, professional bodies and the experts and the status of incorporation of the suggestions and the new concepts.

The minister advised the SECP to also add necessary provisions in draft Bill to facilitate agriculture sector growth and the regulation of real estate business.

Published in The Express Tribune, July 3^rd, 2016.

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