The Monetary Authority of Singapore (MAS) has decided not to take action against Global Logistic Properties (GLP) Ltd, after concluding its investigation into an omission in the firm’s initial public offer (IPO) prospectus filed last year.
“MAS has carefully assessed the circumstances of the case, including whether the omission significantly altered the information mix available to investors. We have concluded that the omission did not amount to a breach of the Securities and Future Act (SFA). As such, we will not take any regulatory action against GLP,” it said.
While GLP did not breach the SFA, the MAS said GLP should “not have chosen a narrow and technical assessment of the materiality of the non-competition arrangement,” and the “more prudent course of action would have been for GLP to disclose the arrangement in the prospectus.”
“We have reminded GLP of its responsibility as a public listed entity to exercise greater prudence when assessing its disclosure obligations in future,” said the MAS.
It noted that the MAS will not hesitate to take appropriate actions against parties that contravene the law, as all “entities accessing the capital markets have a responsibility to uphold high disclosure standards.”
“When confronted with difficult disclosure issues, they should avoid taking a narrow or technical approach in considering the information needs of investors.”
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