'Rules on share ownership rest with finance minister'<\/p>\n
JAKARTA (JP): Despite President Soeharto's call to limit share
\nholdings in listed companies, noted economist Sjahrir said
\nyesterday this decision rested in the hands of the Capital Market
\nSupervisory Agency and the finance minister.<\/p>\n
\"Capital Market Law stipulates clear-cut rules on share
\ntrading on the stock exchanges and one of the rules requires a
\ntender offer for an acquisition of more than a 20 percent stake
\nin a listed company,\" Sjahrir said.<\/p>\n
He was commenting on Cooperative Minister Subiakto
\nTjakrawerdaya's remarks on the need to limit an individual's
\nownership of a listed company to a maximum 15 percent.<\/p>\n
Subiakto said, after meeting the President on Tuesday, that
\nSoeharto would not allow an individual investor or a group to
\nacquire more than 15 percent of any company listed on the stock
\nexchanges.<\/p>\n
Citing the President's reason for such a restriction, Subiakto
\nsaid private companies had been encouraged to go public to make
\nownership of assets more equitable.<\/p>\n
But Sjahrir asserted that as long as the domestic stock
\nexchanges were governed by Capital Market Law they would be
\nsupervised by the Capital Market Supervisory Agency which is
\nresponsible to the finance minister.<\/p>\n
He agreed with the objective of making ownership of assets
\nmore equitable through the stock exchanges.<\/p>\n
But Sjahrir, also a securities analyst, contended the
\ninterests of minority shareholders in listed companies were
\nprotected by special regulations.<\/p>\n
\"The majority shareholders are required by regulations to
\nobtain prior consent from minority shareholders regarding major
\ncorporate programs,\" he added. (vin)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/rules-on-share-ownership-rest-with-finance-minister-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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