28-02-2021
The Qatar Financial Market Authority has issued special controls related to the purchase of listed joint stock companies for their shares, in order to implement and support their employee incentive programs, according to specific conditions and procedures.
According to the new controls issued, there are several procedures and requirements that the incentive shares program must include, including that the number of shares should not exceed (7%) of the total paid-up capital with the loss of the right to vote, and the share of one person should not exceed (10%) of the incoming shares in the program, and determining the categories of beneficiaries of the incentive program, provided that these categories do not include members of the company's board of directors, and determining the dates set for the distribution of shares, in addition to the other controls and requirements detailed in the new legislation.
In this regard, Mr. Nasser Ahmed Al Shaibi, Chief Executive Officer of the Authority indicated that the issuance of these controls comes within the framework of the permanent work of the Authority to review and update all legislation regulating the capital market sector, and to meet the needs of dealers in the Qatari financial markets, considering the best practices in this vital sector.
Mr. Al-Shaibi added that the Authority is working through a comprehensive plan for modernization and development aimed at creating a balance between the regulatory requirements of the financial markets and the ease of entering those markets and benefiting from the services they provide, in addition to increasing the confidence of investors and dealers in the regulatory and supervisory environment of the capital market in the state.
His Excellency also indicated that the Authority is keen to follow up the implementation of the legislations issued by it, measure its impact and permanently seek the opinions of those concerned with it, and follow up legislative developments regarding it in other markets, in order to preserve and maximize the gains of the Qatari financial markets, as well as increase the investor base in listed securities and increase the services provided by the capital market in the state.