Listing Process

All listing applications must be sent to the SEM through a sponsor. The applications are then forwarded to an independent Listing Committee. The listing commitee may then grant or reject the application.

FOREIGN LISTING REQUIREMENTS

When a foreign company wants to have a primary listing on the Official List of the SEM, the regulatory body has to ensure that the absence of a listing in the company's country of origin is not due to the need to protect investors.

Foreign companies seeking a secondary listing (dual listing) on the SEM must:
Comply with the requirements of any stock exchange on which it has securities listed; and
Meet any requirements of any competent authority or equivalent regulatory body, which regulates it.
A foreign company must submit a Listing Particular including all the required information about the public reporting and filing obligations in its country of primary listing. The regulatory body may grant an exemption to the requirement of these information where:

The issuer is listed on an overseas stock exchange and conducts business and makes disclosure according to internationally accepted standards; and
The nature and extent of the regulation to which the issuer is subject in its country of incorporation or other establishment.

APPROVED INVESTMENT INSTITUTIONS

Approved investment institutions includes
Investment trust: a company or any other similar institution which is engaged primarily or proposes to engage primarily in the business of investing, reinvesting, owning, holding, issuing or trading in securities
Authorised Mutual Fund: a company may, under the Mauritian Companies Act 1984 be declared by the Minister of Finance to be an Authorised Mutual Fund.
A Unit Trust: a business structure which pools investor funds to undertake stated investment objectives. The Unit Trust is established under a unit trust scheme and complies with the requirements of the Unit trust Act 1989.

For listing, Approved Investment Institutions must comply with additional conditions:
The Board of Directors must demonstrate that it will act independently of any investment management of the company;
Not more than 20% of the gross assets of the investment company may be lent to or invested of any one company or group;
The investment company must invest in ten or more securities, each of which has been issued by unconnected parties;
Dividends must not be paid unless they are covered by income received from underlying investments; and
Within one year of the first marketing of its securities to the public, the company must have a minimum paid up capital of Rs 20 million.

Updated on:07:03:2002