PSE delists, penalizes Calata
MANILA, Philippines — The Philippine Stock Exchange (PSE) announced yesterday the delisting of Calata Corp. of businessman Joseph Calata.
In a memorandum issued yesterday, the PSE said it has also ordered the imposition of penalties on Calata.
“The effective date of delisting will take into account the timetable of the company for the conduct of a tender offer to the public stockholders of the company as of June 30, 2017, which the exchange required the company to undertake in order to provide shareholders an exit mechanism,” the PSE said.
The PSE said it would update the investing public of further developments on the tender offer.
Meanwhile, the trading in shares of Calata shall remain suspended until the effective date of delisting.
The PSE counted 55 violations of disclosure rules from Oct. 6, 2016 to June 20, 2017 when Calata started selling his shares in the company.
Calata was found to have violated the ‘blackout rule’ which prohibits directors and principal officers who have obtained material non-public information to trade their company’s shares within a prescribed period.
The PSE’s blackout rule is meant to provide a fair market environment to the investing public by disallowing the possible trading of company insiders using non-public information that they may have access to by virtue of their position in the company.
Delisting has stiff consequences. For one, the company cannot relist within five years and its officers and board members cannot be part of any other listed company within the same period.
- Latest
- Trending