Chief Regulatory Officer of the Colombo Stock Exchange (CSE) Renuke Wijayawardhane has sent a circular addressed to Chief Executive Officers, Company Secretaries and Registrars of All Listed Companies requiring them to, as a matter of priority,make a disclosure to the market on the impact of COVID-19 on them.
The Listed Companies are required to disclose the impact of COVID-19 pandemic on the business/operations of the Listed Company, its response to the impact of the COVID – 19 pandemic and the Listed Company’s expectation of the future impact of COVID – 19 on the company’s future operations and the financial condition.
“The CSE has always considered that timely, robust, and accurate information provided by the Listed Companies is of paramount importance to the investing public for the sustenance of a fair and orderly market. In this context, the CSE is of the view that the effects COVIS -19 has on the Listed Companies and how the company has responded to the impact of the pandemic is material for the investors in making investment decisions,” the Circular said.
It added that shareholders and investors are closely monitoring the effects of the COVID-19 pandemic on the business performance/operations of the Listed Companies and expect the Companies to provide meaningful and accurate information in a proactive manner.
"In this context, although the pandemic is still continuing, and it is difficult to forecast the outlook, it is expected that the Listed Companies give due consideration in making a timely disclosure to the investing public in this regard,” it said.
The CSE acknowledged that it may be difficult to assess or predict with precision the broad effects of COVID-19 on industries or individual companies and said it recognizes that the actual impact would largely depend on several factors beyond a company’s control and knowledge.