Ada Pertanyaan? Hubungi Kami 
Ada Pertanyaan? Hubungi Kami Fathan Qorib, Andin Aditya Rahman
The Financial Services Authority (OJK) has indicated it has no immediate plans to regulate escrow accounts. However, it has also confirmed its view that there is still a need for such a regulation at sometime in the future.
Nurhaida, Executive Director of the Capital Markets Oversight Division at the OJK, explained that an escrow account regulation is needed to cover when a standby buyer fails to complete their obligations in a rights offering.
“Escrow accounts will only be needed in certain circumstances,” stated Nurhaida in Jakarta on Thursday.
According to Nurhaida, if there is going to be a regulation on escrow accounts, it will apply retroactively: “yes, it will apply retroactively up until the rights offering event.”
She explained that share issues can only be undertaken if the standby buyer confirms that the issuer has funds available.
Nurhaida continued that as escrow accounts frequently require proof of available funds, the escrow account regulation will also set out provisions on verifying the availability of funds.
“The availability of funds, which can be in various forms, can be proven by a bank guarantee, but basically the standby buyer must show and submit proof of the funds’ availability,” she concluded.
(hot/kc)
Fathan Qorib, Andin Aditya Rahman
The Financial Services Authority (OJK) has indicated it has no immediate plans to regulate escrow accounts. However, it has also confirmed its view that there is still a need for such a regulation at sometime in the future.
Nurhaida, Executive Director of the Capital Markets Oversight Division at the OJK, explained that an escrow account regulation is needed to cover when a standby buyer fails to complete their obligations in a rights offering.
“Escrow accounts will only be needed in certain circumstances,” stated Nurhaida in Jakarta on Thursday.
According to Nurhaida, if there is going to be a regulation on escrow accounts, it will apply retroactively: “yes, it will apply retroactively up until the rights offering event.”
She explained that share issues can only be undertaken if the standby buyer confirms that the issuer has funds available.
Nurhaida continued that as escrow accounts frequently require proof of available funds, the escrow account regulation will also set out provisions on verifying the availability of funds.
“The availability of funds, which can be in various forms, can be proven by a bank guarantee, but basically the standby buyer must show and submit proof of the funds’ availability,” she concluded.
(hot/kc)