SEBON Discusses 5% Share Sale Notice Rule With Investors

The Securities Board of Nepal (SEBON) has initiated discussions with investors and other capital market stakeholders regarding a provision requiring substantial shareholders of listed companies to notify the concerned company in advance before selling a significant portion of their shares. Under the proposed provision, shareholders planning to sell 5% or more of their total shareholding would be required to inform the respective company at least 15 days before the sale. The concerned company would then be responsible for making the information public through the Nepal Stock Exchange (NEPSE). SEBON organized the interaction program to gather feedback on the rationale, implementation process, and potential concerns surrounding the proposed requirement. Representatives from various investor organizations and market participants took part in the discussion, including Ghanashyam Pandey, Deepak Ratna Shakya, and Tulsi Ram Dhakal from the Nepal Shareholder Association, investor Tilak Koirala, and Hari Bahadur KC from the Nepal Stock Market Investors Association.