SINGAPORE (April 7): Following the time extension given to locally-listed companies with a Dec 31, 2020 financial year-end (FY-end) to hold their annual general meetings (AGMs), other companies are now also given a similar extension.
This was announced by the Singapore Exchange Regulation (SGX RegCo) today, after consultation with the Accounting and Corporate Regulatory Authority and the Monetary Authority of Singapore.
In particular, SGX-listed companies with a financial year-end (FY-end) on or before March 31, 2020, now have an additional 60 days to hold their AGMs.
This is on top of the requirement to convene an AGM within the four-month period from the end of their respective financial years.
For example, a company with a Feb 29, 2020 FY-end will be able to hold its AGM no later than Aug 29, 2020, instead of June 30, 2020.
Similarly, a company with a March 31, 2020 FY-end will be able to hold its AGM no later than Sept 29, 2020, instead of July 31, 2020.
With this extension in place, SGX RegCo has also allowed the deadline for companies to issue their annual reports to shareholders to be pushed later.
According to the listing rules, companies are required to issue their annual reports to shareholders at least 14 days before the date of the AGM.
Hence, if a company with a March 31, 2020 FY-end were to conduct its AGM on Sept 29, 2020, it has until Sept 14, 2020 to issue its annual report to shareholders.
This amendment, however, does not apply to companies with a Dec 31, 2019 FY-end.
Such companies will still need to issue their annual reports by April 15, 2020.
SGX RegCo says companies are required to inform the stock market regulator and the market on their relevant FY-end and the indicative timeline to convene their AGM.
These companies are also required to announce the confirmation by their respective board of directors that the time extension will not contravene any laws and regulations governing the companies and their constitution.
On April 3, Prime Minister Lee Hsien Loong announced stricter measures — that will last until May 4 — to curb the spread of the novel coronavirus (Covid-19) pandemic.
This included the closure of non-essential services that will affect many locally-listed companies.
