An announcement From the CMA Regarding to the Deadline for Disclosing the Board Report and the Annual Financial Information that ends on 31/03/2020
Tuesday, March 31, 2020 at 2:47 PM
Tue Mar 31, 2020 14:47
In line with the precautionary measures announced by the country to limit the spread of the emerging Corona virus (COVID-19), and because of these measures are of the utmost importance to the health of the investment community and all its segments and those working in the financial sector and as an extension of the precautionary measures initiated by the authority in light of these exceptional circumstances and its impact on the issuers, and to enable the listed companies, real estate investment traded funds and exchange traded funds to comply with the regulatory requirements for disclosing the board report and the annual financial information ending on 31/12 /2019, and based on the Capital Market Law and its implementing regulations, and to protect all financial market participants, and to maintain a orderly market, The CMA announces the issuance of the following resolutions:
1.Not applying the Procedure of Suspending the Trading of Listed Securities for one trading session after the expiry of the statutory deadline for disclosing the annual financial information set forth in paragraph (1) of the procedure (second) from the Procedures of Suspending the Trading of Listed Securities in accordance to the Listing Rules, As follows:
- Listed companies and real estate investment traded funds that could not comply with the deadline for disclosing the annual financial information which ends on 31/03/2020, provided that these companies and funds publish their annual financial information before the end of Wednesday corresponding to 29/04/2020. Any further delay will result in the suspension of trading of those securities until their financial information has been published.
- Exchange traded funds that could not comply with the deadline for disclosing the annual financial information which ends on 07/04/2020, provided that they publish their annual financial information before the end of Wednesday corresponding to 06/05/2020. Any further delay will result in the suspension of trading of those securities until their financial information has been published.
2.Extending the statutory deadline to disclose the board report for the listed companies whose fiscal year ends on 31/12/2019, for an additional month, provided that the listed companies submit their report before the end of Thursday corresponding to 30/04/2020.
The CMA also urges the issuers to communicate with the authority in the event of any difficulties related to the disclosure of the regulatory requirements for reasons related to the precautionary measures announced by the country to limit the spread of the emerging Corona virus (COVID-19). Not to mention that the CMA is currently studying the deadlines for disclosing the issuers' financial information for the upcoming publishing periods.
It is also worth noting that the CMA have taken several precautionary measures to assist the participants in the financial market in these exceptional circumstances, among which is the suspension of attending the general assembly meetings for listed companies in the financial market until further notice, limiting the holding of the general assembly meetings to take place only through modern technology remotely, and suspending the freezing of accounts according to the instructions of investment accounts. In addition, the CMA has previously emphasized the financial institutions it supervises to activate business continuity plans and harnessing all electronic technologies to ensure business continuity in the financial market.