The Stock Exchange of Mauritius has a responsibility to ensure that it operates orderly markets. In order to achieve this objective , it is essential that companies listed on the DEM publish price- sensitive information on a timely basis and in accordance with the DEM Listing Rules.

Disclosure of corporate transactions

Significant transactions

When a Development & Enterprise Market company makes a significant transaction, it must immediately issue a press release and notify the Exchange, disclosing the information specified by Schedule Five.

Related party transactions

This rule applies to any transaction whatsoever with a related party which exceeds 10% in any of the class tests (see Schedule Four).

A Development & Enterprise Market company must issue notification without delay as soon as the terms of a transaction with a related party are agreed disclosing:

• the information specified by Schedule Five;
• the name of the related party concerned and the nature and extent of their interest in the transaction; and

• a statement that with the exception of any director who is involved in the transaction as a related party, its directors consider that the terms of the transaction are fair and reasonable insofar as its shareholders are concerned.

Cash companies 

A Development & Enterprise Market company which becomes a cash company will be suspended and will be given a period of six months from the date of its suspension in which to take the necessary steps to cease to be a cash company. If at the end of the six month period, the company remains a cash company, its admission will normally be cancelled.

Disclosure of miscellaneous information

Half-yearly financial statements

A Development & Enterprise Market company must prepare half-yearly financial statements according to IFRS, which must be notified as soon as possible but not later than 90 days after the end of each relevant period.

Annual accounts

A Development & Enterprise Market company must publish annual financial statements prepared in accordance with IFRS and audited according to ISA, which must be notified as soon as possible but not later than 14 days before the date of the Development & Enterprise Market company’s annual meeting nor more than six months after the end of the financial period to which the financial statements relate.

These accounts must disclose any transaction with a related party, whether or not previously disclosed under these rules.

Publication of documents sent to shareholders

Any document provided by a Development & Enterprise Market company to its shareholders, must be made available to the public at the same time for at least one month, free of charge, at an address which must be notified.

Restriction on deals

A Development & Enterprise Market company must ensure that its directors and applicable employees do not deal in any of its Development & Enterprise Market securities during a close period.

This rule will not apply, however, where such individuals have entered into a binding commitment prior to the Development & Enterprise Market company being in such a close period:

• where it was not reasonably foreseeable at the time such commitment was made that a close period was likely and
• provided that the commitment was notified at the time it was made.

The Exchange may permit a director or applicable employee of a Development & Enterprise Market company to sell its Development & Enterprise Market securities during a close period to alleviate severe personal hardship.