ASX Consultation - Listing Rule Changes
Listing Rule Changes
On 28 November 2018, ASX Limited (ASX) released a consultation paper on proposed measures to simplify, clarify, and enhance the integrity and efficiency of, its listing rules.
The last major update to the listing rules took place with the changes to the admission requirements in 2016.
The changes proposed in the consultation paper are many and varied, and likely to affect different companies in a variety of ways.
Broadly speaking, the proposed changes can be grouped into eight categories:
- improving market disclosures and other market integrity measures;
- making the listing rules simpler and easier to follow;
- making aspects of the listing process and ongoing compliance with the listing rules more efficient for issuers and for ASX;
- updating the timetables for corporate actions;
- enhancing ASX’s powers to operate the market and to monitor and enforce compliance with the listing rules;
- correcting gaps or errors in the listing rules;
- general drafting improvements, including removing redundant listing rules; and
- more and better guidance.
Guidance Note Changes
ASX is also consulting on the following new or amended guidance notes:
- Guidance Note 1 Applying for Admission – ASX Listings;
- Guidance Note 11 Restricted Securities and Voluntary Escrow;
- Guidance Note 12 Significant Changes to Activities;
- Guidance Note 13 Spin-outs of Major Assets;
- Guidance Note 21 The Restrictions on Issuing Equity Securities in Chapter 7 of the Listing Rules;
- Guidance Note 24 Acquisitions and Disposals of Substantial Assets Involving Persons in a Position of Influence;
- Guidance Note 25 Issues of Equity Securities to Persons in a Position of Influence; and
- Guidance Note 33 Removal of Entities from the ASX Official List.
ASX is seeking submissions on the consultation paper by the close of business on Friday 1 March 2019. ASX will then consider all submissions it receives before finalising the proposed listing rule amendments and guidance notes. It is envisaged that the final listing rule amendments and guidance notes will be released in May 2019, and will take effect on 1 July 2019.
We will provide regular updates as these changes are finalised.