KUALA LUMPUR, Nov 13 (Bernama) -- The government on Wednesday relaxed the 30
percent bumiputera equity ownership for companies wanting to be listed but have
yet to fullfill the quota.
Deputy Prime Minister Datuk Seri Najib Tun Razak said the relaxation, which
would take effect immediately, was to ensure that the Malaysian capital
investment market stay progressive and competitive.
He said that the companies concerned had to take specific steps and under the
reorganisation, needed to heed the conditions of the National Development Policy
(NDP) while continuing to offer the shares to institutions and bumiputera
investors approved by the Ministry of International Trade and Industry.
He said, however, that the shares that were not subscribed could be offered to
other bumiputeras as part of the share voting process.
"I wish to stress that the 30 percent Bumiputera equity participation at the
point of listing will continue to be enforced. However, there will be a slight
change in terms of the methodology," he told reporters after visiting the
Securities Commission (SC) here.
"This means that more individual bumiputeras could apply for the shares
concerned. If the shares offered to individual bumiputeras are still not fully
subscribed, then the company concerned is deemed to have fulfilled the 30
percent bumiputera equity," he said.
Asked whether this move would jeopardise the 30 percent bumiputera equity, he
said the action would allow other bumiputera individuals to participate and take
up the public balloting.
"There are two tiers. After the two cuts, if the shares are still not taken up,
it is only fair to allow the companies to be listed. Otherwise there will be a
huge uncertainty for them," he said.
Meanwhile, the SC chairman Datuk Seri Zarinah Anwar said to date, seven
companies had yet to fulfil the share ownership conditions.
She said the companies concerned had met the SC and given time to fulfil the
condition.
"The share prices of these companies today have gone below their IPO pricing. Of
course, it does not make sense then to compel bumiputeras to subscribe as they
will be able to buy the shares cheaper from the market," she said.
The views of the other 'beholders' affecting yet others still. written by Tan Peek Guat,
Thursday, November 13 2008 01:14 pm
Know it that the government is relaxing the requirement of the 30% Bumiputera Equity for listing on account of the lack of demand for non-Bumi companies to be listed on Bursa Malaysia.
Everyone learns and all lessons ought to be well-learnt, especially now, with the housing quota subsidy by the non Malays.
Therefore, all non-Bumi companies should not be anxious and keen to be listed on the Bursa Malaysia Board. The results may not be as rosy as it seems to be at the start. Afterall, not all roses smell good! Probably the banks and the merchant houses will make and rake!
Furthermore, like the housing quota in the state of Kedah, the percentage might be increased in the future, when business seems 'good' to other 'beholders'.
Tan Peek Guat
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Circular No 106/2012: Accountant’s Report 2011
Know it that the government is relaxing the requirement of the 30% Bumiputera Equity for listing on account of the lack of demand for non-Bumi companies to be listed on Bursa Malaysia.
Everyone learns and all lessons ought to be well-learnt, especially now, with the housing quota subsidy by the non Malays.
Therefore, all non-Bumi companies should not be anxious and keen to be listed on the Bursa Malaysia Board. The results may not be as rosy as it seems to be at the start. Afterall, not all roses smell good! Probably the banks and the merchant houses will make and rake!
Furthermore, like the housing quota in the state of Kedah, the percentage might be increased in the future, when business seems 'good' to other 'beholders'.
Tan Peek Guat