The Pakistan Stock Exchange (PSX) and the National Institutional Facilitation Technologies (NIFT) have signed an agreement for introducing a new E-IPO system at the PSX, which will a new payment and registration system for the bourse.
The new digital portal will extend facilities to investors (local, foreign and institutional), TRE certificate holders and even banks to submit online subscription applications from anywhere in the world through the internet.
The system from PSX is being developed for the capital market and its participants to digitally transform the IPO process through the E-IPO project. It will be an automated system that will connect investors and share registrars with brokers/TRE certificate holders and banks through payment gateways including NIFT and share custodial company CDC.
Speaking at the signing ceremony for the new portal, the PSX MD and CEO, Farrukh Khan said, “The deployment of a new E-IPO system at the Pakistan Stock Exchange (PSX) will open new vistas and expand horizons for the investors desiring to invest in new share listings through the convenience of a few clicks”.
Khan said that it would help in steering digitalization for investors “at the front end and would also enhance the outreach for the PSX, issuers and investors in terms of the initial public offering (IPO) process as a whole”.
Excited to be part of the new project, the NIFT CRO, Haider Wahan said that the Pakistan’s economic outlook was strong in 2021 and beyond with positive sentiment in the stock exchange, and that “the regulator was geared to provide state-of-the-art digital products and services to local investors”.
“NIFT ePay would help investors make online payments for all the E-IPOs with a secure and seamless payment experience directly from their bank accounts”, said Haider, adding that the system will expand potential investors’ ability to digitally participate in an IPO.
From : pk.mashable.com