Draft Project to Amend the Instructions of Share Buyback by Public Shareholding Companies “Treasury Stocks” 14/08/2012

Jordan Securities Commission (JSC) believes in adopting up to date international practices that regulate the securities market. Therefore, (JSC) started to reconsider the (Instructions of Share Buyback by Public Shareholding Companies “Treasury Stocks” for the year 2006). A new Draft of Instructions is made after reviewing several regulatory legislations of regional & international countries alike to buy treasury stocks to suit the Jordanian market.

The Draft Project obliged companies to disclose intent of buyback of treasury stocks, to disclose simultaneously the numbers of purchased & remaining shares to be purchased regularly in the purchasing process & to disclose if a company renounces or ceases to purchase & reasons for doing so. The Draft Project also specified the number & mechanism of purchasing shares during the trading session, to eliminate the effect of a company on the share market price & to increase transparency when a company buybacks its shares. 

(JSC) proposes this Draft Project to amend the (Instructions of Share Buyback by Public Shareholding Companies “Treasury Stocks”) to all concerned parties in Jordan capital market including, investors, brokers, companies & others, to state their opinions on suggested recommendations within two weeks from the date of disseminating this Draft on (JSCs’) electronic website. The (JSC) wishes to be acquainted with their opinions & suggestions to benefit from these before finalizing these (Instructions).

The attached document is merely a “Draft Project” that maybe altered & amended as deemed proper for public interest, nor is any part of it is final yet.

We highly appreciate your concern & cooperation.

Note: Kindly send your views & opinions on the following addresses:

Email: info@jsc.gov.jo.
Fax: 065682615.


Attachments:
• Draft Project to Amend the (Instructions of Share Buyback by Public Shareholding Companies “Treasury Stocks”).