ECONOMYNEXT – Sri Lanka’s Colombo Stock Exchange (CSE) has called for public comments on the proposed amending of its listing rules.
The CSE said it is in the process of amending the listing rules “to relax the application of the minimum public holding requirement for companies listing via introductions at the point of listing”.
There was a significant decline in the number of equity listings on the CSE via Introductions, with only 7 such equity listings taking place from 2013 to date, CSE said in a statement.
The last equity listing via an introduction took place in 2020.
“The main reason for this decline was due to inability of the prospective applicant companies to comply with the applicable Minimum Public Holding (MPH) requirement at the point of listing the company, in terms of the present Listing Rules of CSE.
“Various stakeholders have expressed their concerns on the prevailing regulatory framework, which imposes restrictions on companies seeking listings via Introduction, especially with regard to the MPH requirement, thereby preventing them from venturing to list on the CSE.
“Therefore, with the objective of encouraging listings on the CSE, especially via Introductions, which is rarely utilized at the moment, the CSE is of the view that an alternative mechanism should be implemented for companies which intend to be listed on the CSE via Introductions, specifically relating to compliance with the MPH requirement, at the point of listing the company.
The exchange has invited comments from the public, in writing, on or before June 27, addressed to the Chief Regulatory Officer of the CSE, in any of the following methods;
– By Registered Post:
Chief Regulatory Officer
Colombo Stock Exchange
#04-01, West Block, World Trade Center,
Echelon Square,
Colombo 01
– By E-mail: ListingRules@cse.lk to relax the application of the minimum public holding requirement for companies listing via introductions at the point of listing
(Colombo/Jun12/2025)