PSE Issues Amendments To The Voluntary Delisting Rules

The Philippine Stock Exchange (PSE) issued Memorandum CN-No. 2020-0104, ¹ dated December 21, 2020, on the amendments to its Voluntary Delisting Rules. These amendments tighten the approval requirements for delisting and seek to ensure the fairness of the tender offer price.

The following are some of the salient amendments introduced to the Voluntary Delisting Rules:

1. Petition for Delisting

The PSE will allow delisting upon filing of a petition by the listed company approved by (a) at least two-thirds of the entire membership of the board of directors, including the majority, but not less than two, of all of its independent directors; and (b) stockholders owning at least two-thirds of the total outstanding and listed shares of the listed company. ² The previous Voluntary Delisting Rules only require approval by a majority of the listed company's incumbent directors. The number of votes cast against the delisting proposal should not be more than 10% of the