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SEC revises definition of “Major Shareholder” of securities companies



Monday 12 November 2018 | No. 142 / 2018


Bangkok, 12 November 2018 – SEC will revise the definition of major shareholder of securities companies from currently being determined from the “number of voting shares” to the “number of voting rights” to cause the supervision of the major shareholder to reflect the actual controlling person.

The notification of the Ministry of Finance regarding prescription of conditions for securities company to apply for approval of person to be major shareholder defines the “Major Shareholder” as any person directly or indirectly holding shares of securities company in excess of ten percent of voting shares of such company.

Where a securities company issues shares with different voting rights, certain shareholders may have the number of voting share more or less than the number of voting rights, which may be contrary to the major shareholder oversight principle that aims to supervise the actual controlling person.

SEC is therefore considering revision of the definition of major shareholder from currently being based on the “number of voting shares” to the “number of voting rights” to ensure that the supervision of major shareholder reflects the actual controlling person, and is seeking public comments from stakeholders to gather and take into consideration the comments for the appropriate revision of the rules.

The consultation paper is available at www.sec.or.th/hearing. Stakeholders and interested parties are welcome to submit comments and recommendations via the website, facsimile to 0-2033-9660, or email: piyatit@sec.or.th or witchulada@sec.or.th. The public hearing ends on 7 December 2018.

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