Qatar Financial Market Authority (QFMA) has issued rules for the purchase of listed shareholding companies for their shares, for the purpose of implementing and supporting their employee’s incentive schemes, pursuant to specific requirements and procedures.
According to the new issued rules, the incentive shares scheme shall include several procedures and requirements, including: the number of shares shall not exceed (7%) of the total paid-up capital with the loss of the right to vote and the share of one person shall not exceed (10%) of the scheme shares.
It also includes determining the beneficiaries of the incentive programme, excluding the company's board members and determining dates of the shares allocation, as well the other requirements detailed in the new legislation.
In this regard, Nasser Ahmed al-Shaibei, QFMA CEO said that the issuance of these rules comes in line with the QFMA’s ongoing efforts to review and update all legislation regulating the capital market sector, and to meet the needs of people dealing in the Qatari financial markets, taking into account the best practices in this vital sector.
Al-Shaibei added that QFMA is working based on a comprehensive plan for the update and development aimed at creating a balance between the regulatory requirements of the financial markets and the ease access of such markets and get a benefit from the provided services, in addition to increasing the confidence of investors and dealers in the regulatory and supervisory environment of the Qatari capital market.
Al-Shaibei also stated that QFMA is very keen to follow up the implementation of its issued legislations, measure its impact and to constantly receive the comments and suggestions of the concerned parties through public consultation, and follow up the relevant legislative developments in other markets.
This can preserve and maximise the gains of the Qatari financial markets, as well as increase the investor base in the listed securities and increase the services provided by the capital market in Qatar.