ISLAMABAD, March 4: Securities and Exchange Commission of Pakistan (SECP) on Monday unveiled the Code of Corporate Governance that, inter alia, requires every company which is listed or proposed to be listed “shall at the time of issue of share capital, offer not less than 20 per cent of the issued capital to the general public, unless the limit is relaxed by the stock exchange.”

Moreover, it will be obligatory on every such company to ensure that the issue is underwritten.

The commission, SECP spokesman told Dawn, had directed the three stock exchanges to ensure that all listed companies report compliance with the code within the next 30 days.

This code has been enforced only on the listed companies. It would, however, be soon made applicable to banking companies, development finance institutions (DFIs), non-bank financial institutions, insurance companies, mutual funds, unit trusts, and companies/corporations held or controlled by the government.

Finalized after extensive consultations with stakeholders and a series of seminars held in Karachi, Lahore and Islamabad to elicit public opinion, the code incorporates principles of sound corporate practices from around the world and is tailored to the specific needs of Pakistan.