The Stock Exchange published a consultation conclusion in June 2023 on the Proposals To Expand The Paperless Listing Regime and make other amendments to the Listing Rules. These include reducing the number of documents required to be submitted and mandating electronic submission of documents to the Stock Exchange, and issuers are required to publish corporate communications electronically to the extent permitted by applicable laws and regulations. The relevant amendments take effect from 31 December 2023.
Under the amended Listing Rules and subject to the laws and regulations of their places of incorporation, issuers must disseminate corporate communications to their shareholders electronically and may do so without the need to seek individual shareholder consent, i.e. by relying on an Implied Consent from shareholders.
In other words, commencing year 2024, issuers currently disseminating corporate communications in printed form must convert to electronic communication. They may rely on an Implied Consent if such consent mechanism is permitted by laws and regulations (e.g. applicable to issuers incorporated in the Cayman Island, Bermuda, PRC or Singapore) or obtain an Express or Deemed Consent from shareholders to disseminate electronically if an Implied Consent mechanism is prohibited by laws and regulations (e.g. Hong Kong).
An issuer may only send corporate communications in printed form to a shareholder upon the request of that shareholder. Each issuer must disclose, on its website, the relevant arrangements for its shareholders to make such a hard copy request.
Before adopting any new arrangements for the dissemination of corporate communications (e.g. from printed form to electronic communication, or a change in consent mechanism in electronic dissemination), issuers should send a one-time notification to its shareholders individually and by the method that the shareholders have opted for (electronic or printed).
BMI Listed Corporate Services Limited provides professional corporate services for listed companies and private companies of different jurisdictions. For more information, please contact:-
Ms. Eva Lam (Director)
Tel: (852) 2159 5003 / (852) 5175 2662
Email: bmilcs@bmintelligence.com