Title: Press Release: Cancelation of the Listing of Ahli United Bank's (K.S.C.P.) Shares from Boursa Kuwait Securities Exchange

Kuwait, May 25, 2023 – Within the framework of the Capital Markets Authority’s (CMA) continuous endeavor to implement the provisions of Law No. 7 of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities and its Executive Bylaws and their amendments, CMA Board of Commissioners Resolution passed in its meeting No. (15) of 2023 held on 24/05/2023 was issued stipulating the following:

“The listing of Ahli United Bank's (K.S.C.P.) Shares is hereby canceled from Boursa Kuwait Securities Exchange, as a result of the suspension of trading its shares for more than six months without meeting the requirements to resume trading, according to Item No. (3) of Article 2-4-1of Module Twelve (Listing Rules) of the Executive Bylaws of Law No. 7 of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities and their amendments, which stipulate the following:

“The Authority may cancel the listing of the Shares of a shareholding company listed in the Exchange in any of the following cases:

……

3.   If the trading of the share was suspended for a period of six months without the company meeting the necessary requirements to resume trading.

....”

This Resolution was issued due to the Bank’s unwillingness to resume trading its shares on the Securities Exchange as a result of the acquisition of its total capital by Kuwait Finance House Group, and the consequent restrictions that prevent trading of the share in the Exchange, provided that the cancellation resolution shall be implemented on the following business day from the date of its issuance.

The Board has decided to exempt the Bank from implementing Article 2-4-2 of Module Twelve (Listing Rules) of the Executive Bylaws which stipulate the following:

“The Board of Directors of a company shall call the general assembly to discuss

the resolution of delisting the company’s Shares from the Exchange,  including 

addressing the company’s current condition and the future plans to resolve these

conditions. Calling for the company’s general assembly shall be made within a

period of three months from the date of the resolution to delist the company’s

Shares. The Members of a Board of Directors shall be subject to disciplinary actions

in case of refraining from convening the general assembly during the stated period.

The company shall also provide the Authority and the Exchange with a copy of the

certified minutes of the general assembly meeting, within a period of not more than

two weeks from the date of commencing the general assembly.”

The Board has also decided to exempt Boursa Kuwait from implementing Article 2-4-3 of Module Twelve (Listing Rules) of the Executive Bylaws which stipulate the following:

“Kuwaiti shareholding companies whose Shares were delisted pursuant to a resolution shall be registered in the (Unlisted Securities System) through the continuous trading within five Business Days from the effective date of the cancellation resolution.”

This is due to the lack of purpose for applying the aforementioned articles, as canceling the listing of Ahli United Bank (K.S.C.P.) is a result of the acquisition of the total capital by Kuwait Finance House Group.

In conclusion, the CMA confirms that it will continue its supervisory role to ensure compliance with laws and regulations related to securities activities.

Ends-
Notes to Editors:
The Capital Markets Authority was established pursuant to Law No. 7/2010, approved by the Kuwaiti Parliament in February 2010. Pursuant to the Law, the CMA shall regulate and supervise the securities activities, achieve transparency and fairness, observe listed companies’ execution of Corporate Governance regulations, and protect investors from unfair practices which violate the CMA's Law.
Furthermore, the Law's provisions stipulate the supervision of mergers, acquisitions, and disclosure operations. The CMA also aims to provide awareness programs related to securities activities.
For further information, please contact:
Public Relations & Media Office
Tel: 22903062
Fax: 22903505
Email: pr-media@cma.gov.kw