Listings

Requirements

  • Post issue Paid Up Capital PKR 200 Million Rupees and above.
  • In business for at least three years and profitable for at least two preceding years before getting listed (New greenfield projects are exempted)
  • Have a working website containing basic business information and quarterly reports.
  • Must prepare periodic Financial statements audited by QCR rated chartered accountants and published on the website.

Listing fees


Procedure to get listed

  • Your Company appoints a “Consultant” and completes submission of all documents.
  • The consultant completes an initial review and necessary due diligence of your Company to ensure adequate disclosures in the prospectus.
  • On behalf of the Exchange, the PSX Listing Committee allows approval of your listing application.
  • After PSX listing committee’s approval, SECP gives its approval on the prospectus.
  • An Initial Public Offering is held through a Public offer by either a fixed price method or book building method.
  • Your Company is formally listed on the Stock Exchange.

Listings - Company Resources

We want to hear from you - Submit Interest

Whether you are just gathering information for a possible IPO in the future, or you are actually planning or preparing for IPO the Business Development team of PSX is here to offer assistance.

If you have already begun preparations for IPO but want to hear from the PSX directly, our team is here for you to consult with. We are ready to answer any questions regarding the listing of your company. If you want to know about our system and rules for listing such as listing criteria, or if you are wondering what you should do to prepare for listing, please feel free to contact us from our web site or by phone.

We also have staff available to visit prospective applicants and provide hands-on explanations of the listing process.

Karachi

Haris Saeed - Business Development Manager

Email: haris.saeed@psx.com.pk

Telephone: +92-2135274574 Ext: 4582

Lahore

Sarmad Hussain - Regional Head

Email: Sarmad.Hussain@psx.com.pk

Telephone: +9221 111-001122 Ext: 4653| Direct: 042-36316974

Islamabad

Asghar Abbas Naqvi - Regional Head

Email: abbas.naqvi@psx.com.pk

Telephone: 111-001-122 Ext. 4666| Direct: 051-2894666

Help Desk (92-21) 111-011-122

Email: listing@psx.com.pk

What is listing:

Listing is a procedure of offering the shares of your company to the general public as equity on the Stock exchange

What are the benefits of Listings?

The listing of a company on the Exchange is a graduating step, enhancing the company’s official and public standing. Listed companies represent the highest standard of efficiency and profitability, creating an avenue for investors to take advantage and share the returns of the company’s growth. To begin this journey, we start by highlighting the benefits of listing on the Exchange:

  • The main purpose of an IPO is to raise funds, be it to fund new projects or increased liquidity for working capital needs. Listing on the Exchange will give you easier access to the vast liquid pools of funds from the national and international investment community, providing a diverse investor base.
  • Money raised through the Exchanges is relatively cheaper, especially in a rising interest rate environment, helping organizations reduce their dependence on costly long term and short term debt.
  • The PSX has several indexes for tracking the performance of the leading organizations in the country. Listing will give you the chance to be included in these indexes, providing you with global recognition.
  • By going public, all stakeholders involved use fair valuation of the company by the market which is generally higher than the book value, outlining the true worth of the organization. The government also supports and promotes the decision of an organization to list, giving tax benefits (20% tax payable reduction for the first year after listing and 10% tax payable reduction for further two years after listing). These benefits directly impact your bottom line and benefit earnings.
  • A publicly traded company has a more credible and transparent public perception. Listing provides free publicity and outreach, indirectly benefiting the core operations of the organization.
  • Listing can help attract the best talent, enhance your relationship with current and potential customers and suppliers, increase the opportunities for partnering with local and international companies, and strengthen employee commitment via share ownership schemes. Listing on PSX will provide equity financing opportunities to businesses to expand their business and operations.

Select which board your company will list on:

images

Karachi

Haris Saeed - Business Development Manager

Email: haris.saeed@psx.com.pk

Telephone: +92-2135274574 Ext: 4582

Lahore

Sarmad Hussain - Regional Head

Email: Sarmad.Hussain@psx.com.pk

Telephone: +9221 111-001122 Ext: 4653| Direct: 042-36316974

Islamabad

Asghar Abbas Naqvi - Regional Head

Email: abbas.naqvi@psx.com.pk

Telephone: 111-001-122 Ext. 4666| Direct: 051-2894666

Help Desk (92-21) 111-011-122

Email: listing@psx.com.pk

Requirements of SME listing

Business requirements

  • Post issue Paid Up Capital between PKR 25 -200 Million Rupees
  • In business for at least three years and profitable for at least preceding two years before getting listed
  • Have a working website containing basic business information, information memorandum and quarterly reports
  • Must prepare periodic Financial statements audited by QCR rated chartered accountants and published on the website

Financial requirements

  • At least 20% of post issue paid up capital to be offered ONLY to QIBs and HNWIs through private placement.
  • Minimum five initial subscribers
  • Minimum Bid size of each initial subscriber should be PKR 1 Million

Listing fees

Procedure to get listed

  • SME appoints “Advisor and Consultant”.
  • Consultant submits listing application to the Listing Department at PSX.
  • The listing department reviews documents and performs due diligence.
  • Your listing application is submitted to the PSX Listing Committee.
  • PSX Listing Committee approves the listing application.
  • SME offers its shares to eligible investors and gets listed after they subscribe to its shares.

Company Resources

We want to hear from you - Submit Interest

Whether you are just gathering information for a possible IPO in the future, or you are actually planning or preparing for IPO the Business Development team of PSX is here to offer assistance.<>

If you have already begun preparations for IPO but want to hear from the PSX directly, our team is here for you to consult with. We are ready to answer any questions regarding the listing of your company. If you want to know about our system and rules for listing such as listing criteria, or if you are wondering what you should do to prepare for listing, please feel free to contact us from our web site or by phone.

We also have staff available to visit prospective applicants and provide hands-on explanations of the listing process.

Karachi

Haris Saeed - Business Development Manager

Email: haris.saeed@psx.com.pk

Telephone: +92-2135274574 Ext: 4582

Lahore

Sarmad Hussain - Regional Head

Email: Sarmad.Hussain@psx.com.pk

Telephone: +9221 111-001122 Ext: 4653| Direct: 042-36316974

Islamabad

Asghar Abbas Naqvi - Regional Head

Email: abbas.naqvi@psx.com.pk

Telephone: 111-001-122 Ext. 4666| Direct: 051-2894666

Help Desk (92-21) 111-011-122

Email: listing@psx.com.pk

Benefits of Debt Listing

-Access to large pools of capital:

A public issuance of debt securities provides issuers with access to large pools of funds through the numerous investors who invest in listed instruments.

-No dilution:

By listing bonds of a company to raise capital, the equity of the company is not diluted.

-Increased liquidity

The liquidity created by listing debt securities enables companies to raise long term debt securities as individual investors may exit when they require cash flow. Listed debt securities therefore are issued at a lower interest rate as liquidity risk is significantly reduced.

Types of debt listings:

Private placement

-Eligibility criteria for listing:

A company may apply for listing of its debt securities offered and issued to QIBs throughprivate placement under Chapter 5C of PSX Regulations, provided that:

  1. it is a public company;
  2. it is authorized by it memorandum of association or other constitutive document to issue the debt security;
  3. its paid up capital is not less than Rs.25 million;
  4. the total issue size is not less than Rs.25 million;
  5. in case of a listed company, none of its securities is on the defaulters’ segment of the Exchange;
  6. none of its controlling directors, sponsors, or promoters is defaulter of the Exchange;
  7. none of its controlling directors, sponsors, or promoters is also the controlling director, promoter, or sponsor in other listed companies, which are in the defaulter segment or which has been delisted by the Exchange;
  8. neither the company nor any of its promoters, sponsors or directors has any overdue loan of any financial institution. Provided that this condition shall not apply to nominee directors of the Government and Financial Institutions.
  9. neither the company nor any of its associated companies is defaulter on payment of profit or repayment of principle amount on any debt security earlier listed on the Exchange.
  10. the debt security is redeemable, if issued under section 66 of the Companies Act.

[Explanation No. 1: An instrument in the nature of redeemable capital may have the conversion option i.e. the option of conversion into ordinary shares of the issuer.]

[Explanation No. 2: This clause (x) shall not apply to an issue of perpetual debenture or any other perpetual debt security.]

-Listing procedure:

For listing of a debt security, the following procedure shall be followed:

  1. The company shall make the offer of such debt security to QIBs only through an information memorandum.
  2. The company, after finalization of the list of subscribers shall make an application to the Exchange on Form-I for listing of its debt security along with the documents and information as mentioned in Annexure-I of the Regulations.
  3. The Exchange may reject any application for listing of a debt security at its sole discretion if it deems that listing of the debt security is not in the interest of the market, the company does not meet the minimum eligibility criteria set out in Chapter 5C of PSX Regulations or the company is in contravention of any provision of the said Chapter.Provided that the company shall be given an opportunity of hearing by the Exchange before the listing application is rejected.

-Payment of listing fees:

A company applying for listing of its debt security under Chapter 5C of PSX Regulations shall pay to the Exchange an initial and annual listing fee at the rate as mentioned below:

  1. an initial listing fee equivalent to 0.025% of the total issue size of the debt security subject to a maximum of Rs.0.2 million; and
  2. an annual listing fee of Rs.30,000/- shall be payable in respect of each financial year of the Exchange, commencing from 1st July and ending on 30th June next, before the 30th September in each calendar year.

-Resources and tools-listings- debt securities

Long term Debt Instruments

-Eligibility for listing:

Any Issuer may apply for listing of its Debt Securities offered to the General Public under chapter 5B of the PSX Regulations provided it fulfills the following criteria:

  • (a) it has commenced commercial operations;
  • (b) it is allowed by the Commission to issue, circulate and publish prospectus for issue of such Debt Security;
  • (c) its paid up capital is not less than Rs. 200 million and the total issue size including pre-IPO placement if any, is not less than Rs. 200 million;
  • (d) its entity rating and the instrument rating is not less than BBB. Instrument rating in case of Short Term instruments may not be required;
  • (e) any of its Securities is not on the Defaulter’s Segment of the Exchange, if it is already listed;
  • (f) it and its sponsors and directors has/have no overdue loans of any bank or financial institution.

-Conditions for listing of debt securities:

The Issuer that intends to list any of its Debt Securities on the Exchange shall comply with the following conditions: Minimum allocation of capital to the General Public excluding the Pre-IPO investors shall be as under:

  1. in case issue size is up to Rs. 500 million, the allocation of capital to the General Public shall not be less than Rs. 100 million or 25% of the issue size, whichever is higher;
  2. in case issue size is above Rs. 500 million and up to Rs. 2 billion, the allocation of capital to the General Public shall not be less than Rs. 125 million or 15% of the issue size, whichever is higher;
  3. in case issue size is above Rs. 2 billion and up to Rs. 10 billion, the allocation of capital to the General Public shall not be less than Rs. 300 million or 10% of the issue size, whichever is higher;
  4. in case issue size is above Rs. 10 billion, the allocation of capital to the General Public shall not be less than Rs. 1,000 million or 5% of the issue size, whichever is higher. The Exchange, while keeping in view appetite for the Debt Securities being offered, may change the above allocation in any manner it may deem fit.

-Procedure for Listing Of Debt Securities

For listing of Debt Securities under chapter 5B of the PSX Regulations following procedure shall be followed:

The Issuer shall for listing of any of its Debt Securities, make an application on Form-A to the Exchange along with the documents/information as mentioned
in Annexure-I.

The Issuer shall pay an initial listing fee of such amount as mentioned in regulation 5B.9.

-Trading in Debt Securities:

Trading in Debt Securities listed under chapter 5B of the PSX Regulations shall commence one day after the date of their formal listing;

The Debt Securities shall be traded at the Exchange’s Bond Automated Trading System (BATS);

Appointment of Market Maker and Compliance Officer:

The Issuer is required to appoint Market Maker and Compliance Officer, who shall be responsible to their respective functions as laid down in under the relevant Regulations

-Payment of Listing Fee:

The Issuer shall pay to the Exchange initial listing fee and annual listing fee at the rate as mentioned below:

  1. an initial listing fee equivalent to 0.05% of the total issue size of the Debt Security subject to a maximum of Rs. 0.5 million.
  2. an annual listing fee shall be payable in respect of each financial year of the Exchange, commencing from 1st July and ending on 30th June next, before the 30th September in each calendar year, as per following schedule: S. No. Total Issue Size and Amount of fee i. Up to Rs. 500 million Rs. 30,000/- ii. Above Rs. 500 million & up to Rs.1000 million Rs. 40,000/- iii. Above Rs. 1000 million Rs. 50,000/- The Exchange with prior written approval of the Commission may revise the above mentioned initial and annual listing fees.

-Brokerage Commission:

The brokerage commission under the public offer shall be payable to the TRE Certificate Holders of the Exchange at the rate of 0.25 percent of the value of debt security actually sold through them.

Resources and Tools-listings

Short term Debt Instruments

-Introduction

The Exchange will list the short - term debt instruments in the form of a short term finance certificate issued by the listed companies as well as non - listed companies. There is no compulsory requirement of public offering where the debt instrument is issued for a maximum period of 365 days and its size is upto Rs. 100 million. The public offering where required shall be at least Rs. 200 million or 20% of the total issue size, whichever is lower.

-Fee Schedule

  1. Initial Listing fee : The initial listing fee shall be charged at the rate of one twentieth of one percent of the total issue size, subject to a maximum of Rs.0.5 million.
  2. Annual Listing Fee: The annual listing fee shall be payable as per the Slabs of fee given here under: Size of Instrument Up to Rs.150 million, Rs. 30,000. Above Rs.150 million & up to Rs.500 million, Rs. 40,000. Above Rs. 500 million, Rs. 50,000.
  3. Brokerage Commission: The brokerage commission under the public offer shall be payable to the TRE Certificate Holders of the Exchange at the rate of 0.25 percent of the value of debt instrument actually sold through them.

-Resources and Tools-listings

WE WANT TO HEAR FROM YOU! - Submit Interest

Whether you are just gathering information for a possible IPO in the future, or you are actually planning or preparing for IPO the Business Development team of PSX is here to offer assistance.

PSX Debt Security Information Desk is here to provide you with more information, answer any questions you may have and create an effective solution for your instructional needs. Please complete the form below, so we can provide quick and efficient service. If this is an urgent matter, please contact Customer Support:

Karachi

Haris Saeed - Business Development Manager

Email: haris.saeed@psx.com.pk

Telephone: +92-2135274574 Ext: 4582

Lahore

Sarmad Hussain - Regional Head

Email: Sarmad.Hussain@psx.com.pk

Telephone: +9221 111-001122 Ext: 4653| Direct: 042-36316974

Islamabad

Asghar Abbas Naqvi - Regional Head

Email: abbas.naqvi@psx.com.pk

Telephone: 111-001-122 Ext. 4666| Direct: 051-2894666

Help Desk (92-21) 111-011-122

Email: listing@psx.com.pk

WE WANT TO HEAR FROM YOU!

PSX Information Desk is here to provide you with more information, answer any questions you may have and create an effective solution for your instructional needs.

Please complete the form below, so we can provide quick and efficient service. If this is an urgent matter, please contact Customer Support:

Karachi

Haris Saeed - Business Development Manager

Email: haris.saeed@psx.com.pk

Telephone: +92-2135274574 Ext: 4582

Lahore

Sarmad Hussain - Regional Head

Email: Sarmad.Hussain@psx.com.pk

Telephone: +9221 111-001122 Ext: 4653| Direct: 042-36316974

Islamabad

Asghar Abbas Naqvi - Regional Head

Email: abbas.naqvi@psx.com.pk

Telephone: 111-001-122 Ext. 4666| Direct: 051-2894666

Help Desk (92-21) 111-011-122

Email: listing@psx.com.pk

1. Corporate Analyst Briefings:

All companies publicly listed and funded by the general public have the key responsibility of educating and guiding all their shareholders about the company’s past financial performance, challenges, upcoming expansions, future growth outlook etc. This helps active investors in gauging whether or not to invest in your company’s future, as hearing directly from the company is an unmatched source.

PSX constantly endeavor to facilitate this requirement and offer to not only assist you in getting the relevant audience, but also offers PSX premises to facilitate the event. PSX’s team assists in the entire process to maximize Corporate Briefing Program’s productivity. Holding these briefings also qualifies our corporate members for PSX’s prestigious Top Company Awards.

‘Investors both locally and abroad want to hear about the success achieved by businesses in Pakistan, and we strive to make that happen!’

2. Media and Public Relation Tools:

PSX offers all its listed companies an avenue to disseminate all information vital to the public at a national and international level. These services are extended to your corporate analyst briefings, important public disclosures and any other market sensitive information.

3. Investor Awareness Programs for Employees of listed Companies for HR Capital Development:

The initiative seeks to educate your company personnel on the process of defining their investment objectives, what to expect from the stock market, do’s & don’ts of investing, and how and where to begin when buying stocks. PSX offers to conduct these financial literacy programs at your location as well as offer our own premises free of cost. Our team of professional speakers are trained to introduce the knowledge of your employees in a smooth and effective way.

4. Pre-IPO Marketing:

Beginning a company’s journey towards an IPO is a daunting task requiring efforts on all fronts to maximize the proceeds from a public offering. Keeping the marketing challenges for IPO’s in mind, PSX has created a customized proposition for each Equity based IPO client to introduce the company to the general investment community – including preparing a documentary from concept to execution consisting of short videos, preparing and implementing the digital media plan and ensuring reach of the message. The digital execution and message will have the ability to engage audiences and has to be immediately shared onwards which can increase the reach of the campaign and message multifold.

The documentary may include an interview with the CEO on his vision and mission, brief introductions of key management personnel, tour of the factory or facility, CSR and SDG initiatives, and any other areas highlighting the company’s worth and profile. The documentary will then be pushed online to the relevant audience, to gain traction and boost the company’s offering. The proposal mentioned is linked to one of our media partner Vcast, but companies may choose to engage with a different partner offering similar services, according to individual requirements.

‘In the new digital age, PSX ensures its listing contenders get the projection they deserve to lay the foundation of a successful IPO’