gossip lanka

SEC make amendments to attract SMEs, START-UPs

The Securities and Exchange Commission of Sri Lanka (SECSL) approved introduction of new rules and amendments to the existing Listing Rules of the Colombo Stock Exchange (CSE) and granted approval in principle to proceed with certain other important initiatives.

Setting and enforcing appropriate Listing Standards are central to a well – functioning securities market. These Rules, which underwent an extensive review to assess the potential impact on the market, are expected to enable the Listing Framework of the CSE to align with market trends, improve regulatory efficiency, and streamline the process for more companies such as SMEs and Start –ups to list and access capital.

The SEC granted approval in terms of Section 24 of the SEC Act No.36 of 1987 (as amended) to the following: I. Listing of Shares and Debentures a. At present, the eligibility requirements for obtaining a listing are based on stated capital, net profit and positive net assets.