On 15 November 2022, the Capital Market Supervisory Baord Meeting No. 11/2565 passed a resolution approving the proposal for amendment to the regulations on equity allocation to promote clarity. The SEC later conducted a public hearing to gather views and suggestions on the matter from stakeholders during February – March 2023. 

The finalized amendment to the equity allocation regulations* has recently been issued. Essentially, an equity issuing company is required to comply with the following provisions:  

(1) the equity to be allocated to various persons must be segregated clearly based on the principle of widespread distribution to general subscribers without specific allocation to any particular individual (cherry picking), and must not be an arbitrage in evasion of regulatory compliance regarding allocation of specific shares, and  

(2) the information on equity allocation must be clearly disclosed in the registration statement and the prospectus.  

The amendment has been published in the Government Gazette and has taken effect since 1 October 2023.   

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Remark: * The Notification of the Capital Market Supervisory Board No. Tor Jor. 18/2566 Re: Offer for Sale of Newly Issued Securities in the Categories of Share and Share Warrant of Equity Issuing Company (No. 7), dated 12 September 2023. The Thai version of the Notification is available on the SEC’s website at: https://publish.sec.or.th/nrs/9846p_r.pdf.