The Securities Commission Malaysia has issued the 8th revision of its Equity Guidelines, introducing key changes affecting Main Market listings, transfers of listing and other corporate proposals.
Read our Legal Alert below for a snapshot of the principal amendments and their implications.
The Securities Commission Malaysia (“SC”) issued the 8th revision of the Equity Guidelines on 28th May 2026, which will take effect on 3rd June 2026. The revised Guidelines incorporate proposals adopted following the SC’s Public Consultation Paper No. 4/2025 and Public Response Paper No. 1/2026, and introduce various amendments intended to strengthen the quality and value proposition of the Main Market.
A key amendment relates to the profit test for Main Market listing applicants. The revised Guidelines increase the profit thresholds to an aggregate after-tax profit of at least RM30 million for the most recent three full financial years and an after-tax profit of at least RM15 million for the most recent financial year, which are higher than the previous requirements. The previous “uninterrupted” profit requirement has also been removed, with the profit track record now streamlined to the most recent three full financial years.
The SC has also enhanced its assessment of an applicant’s financial position. In particular, the SC will consider whether the applicant has positive cash flow from operating activities, and new requirements have been introduced for unmodified audit opinions and no material uncertainty relating to going concern.
Other notable changes include enhanced requirements for transfers of listing from the ACE Market to the Main Market, revised requirements for resident directors in secondary listings, refinements to the rules on back-door listings and reverse take-overs, and expanded submission obligations for principal advisers.
Applicants, listed corporations and advisers should review the revised Guidelines carefully when planning listings, transfers of listing or corporate proposals as these amendments are significant as they tighten the standards for Main Market listings and transfers of listing, while streamlining certain requirements from the previous version.
