Companies listed on the Abu Dhabi Securities Exchange (ADX) are now required to disclose the agenda and schedule of their board meetings at least two business days prior to the specified meeting date. This announcement was made by ADX, which stated that decisions taken during these meetings must be disclosed immediately after the meeting concludes. The circular also emphasized the importance of transparency and disclosure of financial information for the benefit of all investors and securities dealers.
The circular issued by ADX also requested listed companies to provide their financial report for the third quarter of this year in both Arabic and English using the disclosure electronic services (E-Services). The reports should include a comparative quarterly report for the same period of the previous fiscal year, audited financial statements, and a Board of Directors’ report or Management Discussion & Analysis. The listed companies are required to provide financial reports approved by executive management and prepared based on International Financial Reporting Standards (IFRS).
If the financial data is not disclosed by 9am, the market will suspend the company’s trading from 9am to 9.30am to ensure the safety of the trading session and the completion of internal market procedures. Once the financial data is received during this time, the company will be allowed to resume trading after 9.30am. Failure to disclose the agenda and meeting schedule two days prior to the meeting date would be considered a violation of market disclosure regulation.
ADX stressed the importance of disclosure and transparency regarding financial information of listed companies. The authority aims to provide investors and securities dealers with relevant and up-to-date information to make informed decisions. The circular also outlined the submission requirements for financial reports and stated that the financial statements must be disclosed either before or after the trading session, following ADX’s Disclosure Guidelines for Public and Private Joint Stock Companies.
In conclusion, the recent circular issued by ADX regarding disclosure of board meeting agendas and financial reports is aimed at enhancing transparency and providing investors with timely and accurate information. The requirement for companies to disclose their board meeting agendas and financial reports in a timely manner ensures that investors have access to relevant information that may affect the company’s stock price. By adhering to these regulations, listed companies can build trust with investors and maintain a fair and efficient market environment.
