The Johannesburg Stock Exchange (JSE) Debt Listings Requirements set the rules and procedures for the listing and ongoing obligations of issuers of debt securities (such as bonds, notes, and debentures) on the JSE. These requirements apply to both new and existing issuers and are designed to ensure investor protection, market integrity, and transparent disclosure[1].
Key components of the JSE Debt Listing Requirements include:
- Eligibility and Application: Only issuers or new applicants who meet JSE criteria may apply for a debt listing. Applications must provide sufficient documentation to allow investors to make informed investment decisions[4].
- Debt Sponsor or Designated Person: Every applicant issuer must appoint a JSE-approved debt sponsor or designated person responsible for guiding compliance with the listing rules[1].
- Disclosure Requirements: Issuers must provide comprehensive disclosure in the placing document, including information on the nature of the business, terms and conditions of the debt securities, guarantees, credit enhancements, risks, and financial status. All material information must be true, not misleading, and delivered on time[4].
- Financial Information: Applicants must submit recent audited financial statements and other financial disclosures sufficient to assess their creditworthiness and the risks associated with the securities[1].
- Continuing Obligations: After listing, issuers are subject to ongoing obligations, such as submitting regular financial reports, disclosing material changes, and adhering to corporate governance standards[1].
- Corporate Governance: The Requirements set guidance on issuer governance, including the composition and responsibilities of the board, directors, and officers involved[1].
- Process and Documentation: The process of listing involves submitting an application, the relevant placing document, and supporting documentation. The JSE will review the submission to ensure compliance and may require additional disclosures or clarifications as needed[4].
Green Bond Segment: For issuers seeking to list green bonds on the JSE’s Green Bond segment, additional requirements include: clear disclosure of the use of proceeds for environmentally beneficial projects, obtaining an external review (such as certification or a second opinion), and committing to post-issuance reporting on environmental impact[2].
Recent Developments: Amendments effective from 11 November 2024 will merge specialist securities into the Debt and Specialist Securities Listings Requirements, moving some existing requirements to new sections and removing others[7].
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