New Priority Regulation for Initial Public Offering Applications from the Capital Markets Board
The Capital Markets Board determined new criteria to be prioritized in the ranking of initial public offering applications, while also announcing decisions regarding debt instruments, capital increases, and administrative fines.
The Capital Markets Board published a new principle decision changing the ranking on its website for the conclusion of initial public offering applications, while sharing financing approvals and administrative fine decisions within the scope of its weekly bulletin.
IPO Priority Criteria
The Capital Markets Board has determined the new conditions that will be given priority in the initial public offering applications of shares of non-public partnerships. In the event that at least one of the three specified criteria is met and requested by the partnership, applications can be concluded on a priority basis.
Thanks to this regulation, companies meeting the appropriate conditions will be exempt from the general application ranking announced on the Board's website and will have the opportunity to advance their processes more rapidly.
Anatolian Cities and Public Dominance
According to the first criterion, it is required to be the first partnership whose shares will be traded on the stock exchange in the city where the company headquarters and the factory, production facility, or service office—from which more than 50 percent of its revenue has been generated for the last 5 years—are located.
Within the scope of the second criterion, the management control of the partnership must be directly or indirectly held by the Republic of Turkey Ministry of Treasury and Finance, Turkey Wealth Fund Management Inc., or other public institutions.
International Criterion and Investment Condition
In the third and final criterion, it is stipulated that the market value of the shares to be offered to the public must exceed 15 billion Turkish liras and an allocation of at least 50 percent must be foreseen for the international investor group.
In addition, in order to ensure compliance with international legislation during this process, it is mandatory to submit a draft document set prepared in a foreign language to the Board.
Debt Instrument and Lease Certificate Approvals
According to the weekly bulletin published by the Capital Markets Board, official approvals were granted for the financing and debt instruments of various companies.
While the Board found the debt instrument issuance applications of 7 companies totaling 25 billion 498 million liras, 650 million dollars, and 50 million euros to be appropriate, it approved the lease certificate issuance of 2 companies totaling 150 billion liras.
Capital Increases and Corporate Developments
The restricted capital increases of Etiler Gıda ve Ticari Yatırımlar Sanayi ve Ticaret AŞ and Kalyon Güneş Teknolojileri Üretim AŞ were approved by the Board.
In addition, the issuance document regarding the capital increase of Ral Girişim Sermayesi Yatırım Ortaklığı AŞ received approval, while the capital increase request of Aksu Enerji ve Ticaret AŞ was met negatively, and approval was granted to the mandatory tender offer information form due to the change in management control at Çelik Halat ve Tel Sanayii AŞ.
Administrative Fine Practices
The Capital Markets Board applied criminal sanctions to protect market order as a result of its examination and auditing activities.
It was announced that as a result of the investigations carried out, a total of 26 million 970 thousand 197 liras in administrative fines were imposed on 2 natural persons and 4 legal entities.