Standard Chartered gains waiver for equity issuance

Published 31/03/2025, 11:48
Standard Chartered gains waiver for equity issuance

HONG KONG - Standard Chartered (LON:STAN) PLC (OTC:SCBFF) has received a waiver from The Stock Exchange of Hong Kong Limited concerning Rule 13.36(1), which governs the listing of securities. The waiver, granted on February 26, 2025, will allow the company’s directors to seek shareholder approval at the upcoming annual general meeting (AGM) on May 8, 2025, for a specific mandate to issue Equity Convertible Additional Tier 1 Securities within the limits outlined in the AGM notice.

If shareholders approve the mandate, the waiver will remain effective until the end of the next year’s AGM, which is due to take place no later than August 7, 2026, unless it is renewed or altered by a shareholder resolution at a general meeting.

This development is part of Standard Chartered’s broader capital management strategy. The issuance of Additional Tier 1 Securities is a common practice for financial institutions to strengthen their capital base and meet regulatory requirements. These securities are designed to be convertible into equity, providing a buffer for the bank’s capital structure.

Standard Chartered’s decision to seek this waiver and subsequent mandate from its shareholders underscores the bank’s proactive approach to capital management. It also reflects the regulatory environment in which global banks operate, where stringent capital requirements are in place to ensure financial stability.

The information on the waiver and the upcoming mandate is based on a press release statement issued by Standard Chartered PLC.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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