Detail Content
Equity Instruments
Transferable Subscription Rights (TSR)
Regulatory Summary
Transferable Subscription Rights (TSR) is an instrument to enable investors with liquidity to sell or transfer their subscription rights.
TSR is an instrument issued by a listed company to existing shareholders without having to request for approval and submit filing. However, the company must comply with the following conditions:
TSR is for a period of not more than two months.
The duration of last exercise of right is not less than 15 days.
There are terms on compensation in the case where the company is unable to allocate shares to TSR holders exercising their right. The compensation must not be less than the difference between the market price of the shares at the time of exercise of right and the exercise price
The shareholders' resolution is effective for one year.
Checklist must be submitted to the SEC with the report of the sale results within 15 days.
Summary of the procedures for securities offering
Securities
| Approval / Filling
| Report of the sale results
|
Public Offering (PO)n : share / warrants
| P
| 45 days
|
Public Offering Placement (PO Placement) : shares / domestic CD / warrant
| P
| 45 days
|
Right Offering (RO) : shares
| O
| O
|
Right Offering (RO) : warrant / TSR
| O (*)
| 15 days
|
Private Placement (PP) : shares / warrant
| As the case may be (*)
| 15 days
|
Private Placement (PP) : Domestic CD
| O (*)
| 15 days
|
Convertable Debentures (CD) offered to foreign investors
| P but no filing
| 15 days
|
(*) must complete checklist and submit with the report of the sale results.
Related Rules and Regulations