Securities Board of Nepal (Sebon) has instructed listed companies to provide bonus and rights shares to their shareholders directly into their dematerialized accounts.
The instruction of the capital market regulator has come in the wake of full-fledged implementation of central depository system from last week. Issuing circular to all listed companies on Monday, Sebon directed them to credit bonus shares and rights shares directly into the demat account of the shareholders.
Sebon's instruction means investors not longer need to visit companies or their issue manager to get their bonus or rights issues.
“With this provision, shareholders won't have to go through the hassle of dematerializing right shares and bonus shares provided by the listed companies in paper format. It will expedite the trading process and increasing liquidity of the market,” Sebon said in the circular.
Full-fledged implementation of paper-less trading system from January 17 has replaced the paper-based trading of securities in Nepal Stock Exchange (Nepse). Currently, 172 listed companies out of 232 have joined CDS with their 315.81 million units of shares already dematerialized for trading.
Companies, who have not dematerialized their shares, have been suspended from trading.
According to Sebon, 153,616 demat accounts of investors have already been opened for trading.
source:republica, 25 jan 2016
LINK
The instruction of the capital market regulator has come in the wake of full-fledged implementation of central depository system from last week. Issuing circular to all listed companies on Monday, Sebon directed them to credit bonus shares and rights shares directly into the demat account of the shareholders.
Sebon's instruction means investors not longer need to visit companies or their issue manager to get their bonus or rights issues.
“With this provision, shareholders won't have to go through the hassle of dematerializing right shares and bonus shares provided by the listed companies in paper format. It will expedite the trading process and increasing liquidity of the market,” Sebon said in the circular.
Full-fledged implementation of paper-less trading system from January 17 has replaced the paper-based trading of securities in Nepal Stock Exchange (Nepse). Currently, 172 listed companies out of 232 have joined CDS with their 315.81 million units of shares already dematerialized for trading.
Companies, who have not dematerialized their shares, have been suspended from trading.
According to Sebon, 153,616 demat accounts of investors have already been opened for trading.
source:republica, 25 jan 2016
LINK
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