SEC calls out PSE for “misleading” statement

The Securities and Exchange Commission (SEC) has called out the Philippine Stock Exchange for what the regulator described as an “inaccurate” and “misleading” statement on the reduction in brokers’ ownership in the exchange.

Trading on shares of PSE was ordered to be halted from 10:19 a.m. until 1:30 p.m on Wednesday.

But PSE, for its part, said that it strongly disagreed with the statement describing as inaccurate and misleading the PSE disclosures.

“The PSE has been in constant communication with the SEC to satisfy the requirements of the Commission by issuing a clarification which PSE believes was sufficient,” the PSE said.

The PSE earlier announced it had signed an underwriting commitment with BDO Capital and First Metro Investments Corp. to ensure compliance with the 20-percent mandatory cap on bourse ownership.

The statement said compliance to the 20-percent ownership ceiling has been finally achieved.

A portion of the letter from SEC said a directive was issued to “correct the inaccurate and misleading information” regarding PSE’s disclosure posted on February 26, 2018 indicated as a press release and entitled “PSE signs agreement ensuring reduction in Exchange broker ownership.”