/KASE, March 27, 09/ - By the decision of Kazakhstan Stock Exchange (KASE)
Council of March 26, 2009 were approved additions # 11 to KASE internal
document "Rules of Repo Transactions Execution" (Rules), effective from
April 1, 2009.
The mentioned amendments were developed in pursuance of the Exchange
Council decision of March 5, 2009 on introduction of the prohibition system to use
securities as repo transactions subjects.
In compliance with mentioned amendments Rules were supplemented by the
following new two items:
"9-1. Securities of any denominations mentioned in sub-item 2) of item 2 of this
Specification, issued by one and the same issuer of these securities, then
the Exchange Board by its decision (decisions) prohibits to use securities
as repo transactions subjects, if:
1) these securities issuer untimely paid interest on its bonds, admitted to
circulation on the Exchange; and/or
2) these securities issuer untimely paid dividends on its preferred shares,
admitted to circulation on the Exchange; and/or
3) these securities admittance initiator did not submit to KASE financial
statements of their issuer (including the interim) during three months
after established by the listing agreement period; and/or
4) these securities admittance initiator did not submit to KASE significant
information on these securities and/or their issuer (the information,
which may influence on these securities cost) during ten days after
established by the Listing Rules period.
9-2. The prohibition, established in compliance with item 3-1 or 3-2 of this
Specification, is cancelled by the Exchange Board decision when securities
issuer or an admittance initiator eliminates violations that entailed such
prohibition (considering the specific, set by the second paragraphс hereto).
If the prohibition to use securities as repo transactions subjects was set in
compliance with item 3-2 of this Specification due to untimely payment of
an interest on debt securities, such prohibition can be cancelled only after
timely payment of the next in turn interest on these securities.".
In addition, the mentioned amendments have the editorial character.
The mentioned amendments are submitted to the Agency of the Republic of
Kazakhstan on Regulation and Supervision of Financial Market and Financial
Organizations for approval.
As mentioned amendments have not been given the effect, KASE publishes on
its website two version of the Specification:
- the effective at address
http://www.kase.kz/files/normative_base/repo_old_eng.pdf
- the updated (with mentioned amendments) at address
http://www.kase.kz/files/normative_base/repo_eng.pdf
Below are references to documents on this topic:
- KASE news of March 10, 2009 "From April 1 KASE prohibits using securities
as repo transaction subjects" at address
http://www.kase.kz/en/news/show/1068542
- KASE news of March 19, 2009 "KASE Specification of Automatic Repo
Market" at address
http://www.kase.kz/en/news/show/1069495
[2009-03-27]