Cross-Border Capital Raising In ASEAN Made Easier

By Tengku Noor Shamsiah Tengku Abdullah SINGAPORE, Sept 4 (Bernama) -- The Monetary Authority of Singapore and Singapore Exchange (SGX), together with the Securities Commission Malaysia and the Securities and Exchange Commission, Thailand, have issued a handbook to implement the Streamlined Review Framework for the ASEAN Common Prospectus. In a joint statement, MAS and SGX said under the framework, ASEAN issuers planning a multi-jurisdictional offering of equity or plain debt securities can expect a shorter time-to-market, and faster access to capital across the region. This framework requires both home and host authorities to complete the prospectus review process at the same time, within three to four months from the date of submission. The handbook provides a detailed guidance on the operational aspects of the framework, including criteria for issuers. The framework is an initiative under the ASEAN Capital Markets Forum (ACMF) Implementation Plan. It has been endorsed by the ASEAN Finance Ministers to enhance ASEAN’s attractiveness as a fund-raising centre. The ACMF was set up in 2004 to promote freer flow of capital and greater connectivity of ASEAN capital markets. Other key initiatives under ACMF include the ASEAN Trading Link among regional exchanges; the framework for Expedited Entry of Secondary Listings to allow for faster time-to-market for corporates seeking secondary listings; and the ASEAN Disclosure Standards to facilitate multi-jurisdiction offerings of equity and plain debt. -- BERNAMA