ISLAMABAD: In a bid to promote the capital markets the Securities and Exchange Commission of Pakistan (SECP) has published guidelines for listing of companies through Initial Public Offerings (IPOs).

The guidelines have been issued by the corporate sector regulator to encourage the companies to get listing at a stock exchange for raising funds to meet financial needs.

The SECP guidebook is helpful for the unregistered firms for the purpose of listing, its benefits, minimal requirements and procedure of listing.

The book refers to various provisions of the applicable laws, rules and regulations, the checklist of the contents of an equity prospectus, the format of applications for seeking approval of a stock exchange, and the SECP and the checklist of documents required.

The guidebook can assist the issuers and their lead manager/consultants, the book runners and the underwriters to make their IPOs smoothly and efficiently.

“It is a useful tool to understand the process of approval of the SECP for the issue, its circulation and publication of prospectus and listing of a company on a stock exchange,” said an SECP official, adding that that listing is accompanied with responsibilities as well including public scrutiny.

“There are many specific requirements that the firms need to comply – and the firm managers need to know these requirements to assess whether the company will be able to fully comply,” he added.