The Taiwan Monthly

Listed Companies and Initial Public Offerings

TWSE-listed companies with a paid-in capital of NT$15 billion or more are required to publish bilingual material information starting on July 1, 2020

Starting on July 1 this year, TWSE-listed companies with a paid-in capital of NT$15 billion or more at the end of 2019 are required to publish material information in both Chinese and English with the aim of building a bilingual capital market that is more aligned with international financial standards and helping the country compete globally. The TWSE stated that the "TWSE Procedures for Verification and Disclosure of Material Information of Companies with Listed Securities" was partially amended in January 2020. The amended rules to publish bilingual material information will be implemented in four phases. The first phase will be rolled out on July 1.

 

Statistics show that 86 companies fall into the first phase, and a total of 343 TWSE-listed companies have already published material information in English, thereby accounting for 36% of listed companies and 85% market value of all TWSE-listed companies. The practice allows foreign investors to have real-time access to listed companies' information and makes Taiwan more competitive in the international capital market.

 

In addition to the listed companies of the first phase, the second phase of the rules will go into effect in 2021 for TWSE-listed companies with a paid-in capital of NT$10 billion or more at the end of 2020 or having foreign and Mainland Chinese investors altogether holding 30% or more of the shares according to the shareholder register at the time of the 2020 annual general meeting. The third phase will go into effect in 2022 for TWSE listed companies with a paid-in capital of NT$2 billion at the end of 2021 and 2022 or having foreign and Mainland Chinese investors altogether holding 30% or more of the shares according to the shareholder register at the time of the 2021 and 2022 annual general meetings. These companies will start disclosing material information also in English in the following years, i.e. 2022 and 2023, respectively. The fourth phase will go into effect in 2024. All TWSE listed companies will be required to publish material information also in English.

 

The TWSE urges listed companies to make preparation in advance for the rules to publish bilingual material information.