Kathmandu. In the stock market, the company’s general public and founder shares can now be traded on the same International Security Identification Number (IGN).
This provision has been made in the procedure related to the engine prepared by the CDSC. With this, the founder shares of any company can now be traded in the general group after the lock-in period (3 years).
At present, there is a provision to trade the founder shares of banks and financial institutions and insurance companies in separate igns in the market. Cdsc Managing Director Praveen Pandak said that arrangements have now been made to do business in the same engine.
Pandak said that the new procedure has put an end to the trend of giving two engines to some and one to some by losing the company in the past. “Now all companies will have the same rule,” she said.
Pandak said that after about 15 years, she has been able to bring the working procedure related to the engine. “Now the shares of the founder group of any company can be traded in the same entity after the lock-in period of three years,” she said, adding that the company has to take approval from the Securities Board of Nepal for this purpose. ’
Pandak said there was no truth in the reports in the market that the general public and founder shares should be compulsorily traded in separate igns. “It is not possible to sell the founder’s shares like ordinary shares by deceiving the general public or correcting the date,” she said, adding, “Such a trend has also been seen in the market, now such activities cannot be done.” Action will be taken as per the Securities Act if such wrongdoings are committed. ’
The CDSC has already recommended to the securities board to take action against some of the companies involved in such activities, pandak said. “The securities board may be investigating and taking action,” she said.
Pandak said that the company can trade the lock-in expired shares in the ordinary stock group only after the approval of the regulatory bodies after the approval of its general meeting. “If the company says that it will deal with the public and the founder’s shares in separate groups, then we will give permission for that as well,” she said.
