New Abu Dhabi Securities Exchange Regulations

The Abu Dhabi Securities Exchange (ADX) has outlined regulations regarding the disclosure of decisions made during board meetings. According to these regulations, companies are required to disclose the outcomes of their meetings immediately after they conclude, excluding the day of the meeting itself.

For instance, if a company's board plans to meet on Friday, September 27, 2024, to discuss issues impacting the stock price, it must provide details about the meeting agenda and schedule by Tuesday, September 24, 2024. Any failure to disclose this information by the deadline will be considered a breach of market disclosure regulations.

Additionally, ADX has requested that all listed companies submit their third-quarter financial reports in both Arabic and English using the Disclosure Electronic Services (E-Services). The exchange emphasizes the significance of transparency and disclosure of financial information for the benefit of investors and securities dealers alike.

As per the circular, the following reports must be submitted to ADX:

1. A comparative quarterly report that includes financial statements audited by the company’s auditor, which must be submitted within 45 days after the end of the relevant quarter. This report should also contain either a Board of Directors’ report or a Management Discussion & Analysis (MD&A), duly signed by the Board or an authorized representative.
2. Financial reports that have been approved by the company’s executive management and prepared in accordance with International Financial Reporting Standards (IFRS).
3. Financial statements must be disclosed either before or after the trading session, adhering to ADX’s Disclosure Guidelines for Public and Private Joint Stock Companies.

The circular also states that if financial data is not disclosed by 9 AM, trading for that company will be suspended from 9 AM to 9:30 AM. This measure is to ensure the integrity of the trading session and the completion of internal market procedures. If the required financial information is received during this suspension, the company will be permitted to resume trading after 9:30 AM.