A look at CMA’s mechanism of transferring Nomu listing to main market

The amended listing regulations issued by the Capital Market Authority (CMA) have included the conditions of transferring a Nomu listing to the main market.

Under these rules, companies wishing to transfer from Nomu to the main Saudi stock Exchange (Tadawul) are obliged of the following:

1) Firms may only apply to transfer to the main market after two calendar years from the day on which its shares were listed on the parallel market.

2) The average aggregate market value of the transferred shares must be worth at least SAR 200 million, in the six-month period prior to the submission of application.

3) An issuer must disclose to the public the board report which includes all related information, before submitting the application.

4) Submitting the board of directors’ approval on the transfer before the beginning of the trading session that follows the approval.

5) The issuer must disclose the transfer to the public upon submitting the application.

Trading on the issuer’s shares will be suspended for a period not exceeding five trading sessions, before debuting on the main market.