SEC hangs back on PSE, PDS merger approval

MANILA, Philippines - The Securities and Exchange Commission (SEC) has not yet approved the planned merger of the Philippine Stock Exchange Inc. and the Philippine Dealing Systems Holdings Corp. despite a self-imposed end-October deadline.

SEC spokesperson and OIC of the Commission secretary Arman Pan said there are still some requirements the PSE needs to submit to the SEC.

Originally, the SEC had a self-imposed deadline to decide on the planned merger by the end of October.

“They still need to comply with some requirements. The requirements will support their request for exemptive relief,” Pan said.

The SEC is studying the planned merger and whether it would allow the transaction to go through even if it will result in PSE owning 100 percent of PDS.

The regulator is studying the matter carefully to ensure it would be free of post acquisition problems.

The PSE operates the local bourse while PDS operates the Philippine Dealing Exchange Corp., the country’s secondary market platform.

The two exchanges are moving to consolidate to offer additional value to issuers, investors, and other market participants at various levels.

PSE president Hans Sicat said the merger would also provide a more competitive landscape for the Philippine capital markets.               

 

 

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