February 2024
Expansion of the Scope of Companies Required to Disclose Information 30 Days Prior to Shareholders' Meetings by FSC (Taiwan)
February 2024
Teresa Huang and Julian Lai
The Financial Supervisory Commission (hereinafter, the “FSC”) promulgated the amendment to Article 6 of the Regulations Governing Content and Compliance Requirements for Shareholders' Meeting Agenda Handbooks of Public Companies (hereinafter, the “Regulations”) via the Jin-Guan-Zheng-Jiao-1120385664 Directive of December 8, 2023. Pursuant to Article 7 of the Regulations, the amendment came into effect upon promulgation.
To align with the "Sustainable Development Plan for Listed and OTC-traded Companies" issued by the FSC dated March 28, 2023, the FSC amended Article 6 of the Regulations, lowering the threshold for listed and OTC-traded companies to disclose information such as the meeting agenda handbooks before the shareholders' meeting 30 days in advance from a paid-in capital of NT$10 billion to 2 billion. This amendment aims to ensure that investors are informed of the content of shareholders' meetings of listed and OTC-traded companies as early as possible.
Article 6 of the Regulations mandates listed and OTC-traded companies to disclose meeting information to the Market Observation Post System within a specified timeframe prior to the shareholders' meeting, which involves the convening procedures of shareholders' meetings. Failure to comply with this requirement, pursuant to Article 189 of the Company Act, may lead to the potential revocation of the shareholders' meeting. Therefore, it is crucial to be mindful of this amendment.
Teresa Huang and Julian Lai
The Financial Supervisory Commission (hereinafter, the “FSC”) promulgated the amendment to Article 6 of the Regulations Governing Content and Compliance Requirements for Shareholders' Meeting Agenda Handbooks of Public Companies (hereinafter, the “Regulations”) via the Jin-Guan-Zheng-Jiao-1120385664 Directive of December 8, 2023. Pursuant to Article 7 of the Regulations, the amendment came into effect upon promulgation.
To align with the "Sustainable Development Plan for Listed and OTC-traded Companies" issued by the FSC dated March 28, 2023, the FSC amended Article 6 of the Regulations, lowering the threshold for listed and OTC-traded companies to disclose information such as the meeting agenda handbooks before the shareholders' meeting 30 days in advance from a paid-in capital of NT$10 billion to 2 billion. This amendment aims to ensure that investors are informed of the content of shareholders' meetings of listed and OTC-traded companies as early as possible.
Article 6 of the Regulations mandates listed and OTC-traded companies to disclose meeting information to the Market Observation Post System within a specified timeframe prior to the shareholders' meeting, which involves the convening procedures of shareholders' meetings. Failure to comply with this requirement, pursuant to Article 189 of the Company Act, may lead to the potential revocation of the shareholders' meeting. Therefore, it is crucial to be mindful of this amendment.
