THE Securities and Exchange Commission (SEC) wants to move applications for public offerings fully online as part of efforts to simplify procedures and encourage companies to tap the Philippine capital market.
The regulator last week issued a draft memorandum circular mandating the use of the Online Application for Registration Statements (OARS), a web-based platform for the electronic submission of registration statements and related documents.
The SEC said the initiative would further reduce the processing time for applications to 40 days and eliminate the need for physical submission of documents.
The OARS will initially cover applications for direct public offerings, follow-on offerings, initial public offerings (IPOs) and first-tranche shelf registrations.
The platform will also accept applications under the SEC’s specialized registration programs, including Securing & Expanding Capital for Real Estate Non-Traditional Securities (SEC RENT) and Securing & Expanding Capital for PowerGen Operators & Wholesale of Electricity & Retail Services.
In addition, the system will facilitate the generation of international securities identification numbers, classification of financial instruments codes and financial instrument short names in accordance with standards set by the Association of National Numbering Agencies.
“The implementation of OARS reflects our continued strategic shift toward a paperless and data-driven regulatory environment,” SEC Chairman Francis Lim said.
“By improving accessibility to the application process and removing bureaucratic roadblocks, we are making it easier for more issuers to enter the market, supporting our broader efforts to revitalize capital market activity in the Philippines,” he added.
The publication of the draft rules coincides with a period for user acceptance testing of the platform before its full implementation.
