SSC tightens substantial shareholder notifications
The State Securities Commission August 2 issued a document guiding the reporting of substantial shareholders who own directly or indirectly more than 5% of the voting rights of a listed company. Accordingly, publicly listed companies and joint stock companies required to register at the SSC must report substantial shareholder notifications and all changes of ownership to the SSC.
For listed firms, the report is to follow the form regulated under information disclosure rules of securities transaction centres. Substantial shareholders of unlisted joint stock companies are required to report in different forms. However, reports must be made within seven days (irrespective of public holidays and weekends) upon any individual or entity becoming a substantial shareholder or a company has important changes regarding the ownership of a large shareholders or a 1% change in the share ownership of any shareholder.
Nguyen Son, deputy head of market development department of the SSC, said large institutional shareholders recently queried the reporting of share ownership, in particular substantial shareholders of unlisted joint stock firms.
