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Thursday, 4 August 2016

EFSA forces companies to submit fair value report on shares of stock moves significantly

EFSA will demand FV reports if your share price moves too far: The Egyptian Financial Supervisory Authority (EFSA) will require listed companies to submit fair value reports if their stock price moves irregularly in a short period of time “in a manner uncharacteristic of its performance, or the performance of the sector and market,” AMAY reports. If the price of the share changes 50% in three months or 75% in six months against market trends in the absence of a clear news trigger, the company will have to present a fair value report to EFSA within a month.

EFSA also set 23 March 2017 as the date on which it will begin enforcing a new regulation stipulating that shares purchased by parent companies in subsidiaries will be counted (and regulated) as treasury shares, Al Mal reports. The date was announced yesterday; EFSA first issued the regulation for public comment in April.

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