MAS, SGX RegCo take steps to facilitate dual listings on SGX, Nasdaq
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The proposals by MAS and SGX RegCo are designed to streamline the IPO process for companies seeking to list in both Singapore and the US simultaneously.
ST PHOTO: LIM YAOHUI
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SINGAPORE – Singapore’s stock market could soon be more closely linked to Wall Street, as the Monetary Authority of Singapore (MAS) and Singapore Exchange Regulation (SGX RegCo) seek public feedback on proposed rule changes to facilitate dual listings on the SGX and Nasdaq
Issued on Jan 9, the consultation paper sets out proposals to simplify the listing process in Singapore and bring it closer to US standards, making it easier for companies to pursue a dual listing on the Global Listing Board (GLB).
First announced on Nov 19 as part of the MAS Equity Market Review Group’s final recommendations to revive the local stock market, the GLB was designed to enable companies to simultaneously list and access growth capital across the US and Singapore.
It is targeted to launch around the middle of 2026.
MAS is proposing to allow a single set of offer documents for companies that want to list on both bourses by incorporating US prospectus disclosure requirements for initial public offerings (IPOs) and post-listing stages.
Under current requirements, issuers prepare their prospectuses based on two sets of disclosure requirements. This incurs additional time and costs.
MAS also proposes shortening the prospectus registration process to better align Singapore’s IPO timeline with that of the US.
This change would allow the final prospectus in Singapore to be lodged and registered as soon as the US registration statement becomes effective. Current regulations require IPO prospectuses to be filed and made available to the public for at least seven days before registration can take place.
The proposed change makes it easier for companies to coordinate their prospectus approval and fund-raising timelines in Singapore and the US.
At the post-listing stage, MAS proposes the introduction of three safe harbours for GLB issuers, which are similar to those in the US:
A safe harbour for forward-looking statements to protect companies and related parties from civil lawsuits, as long as the statements meet the same conditions used in the US and are not false or misleading;
A share buyback safe harbour to protect companies and related buyers from criminal and civil liability if they follow US rules on how, when, at what price and how much they buy back shares;
A pre-determined trading plan safe harbour granting defence to criminal and civil liabilities if a person complies with US regulations on insider trading.
All issuers, not just GLB ones, could also be allowed to engage retail investors earlier in the IPO process, after lodging their preliminary prospectus with MAS. This aligns the timing of their engagement with retail investors more closely with US practice.
Another MAS proposal would treat the company behind the underlying shares as the issuer and offeror of sponsored depositary receipts (DRs), instead of the bank that issues them.
This would make that issuer responsible for prospectus registration, and liable for prospectus‑related misstatements or omissions under the Securities and Futures Act.
A sponsored DR lets investors buy and sell shares of a foreign company on their local stock exchange without dealing with overseas markets.
SGX RegCo listed out a set of requirements for GLB eligibility in its proposal.
Issuers must have a market capitalisation of at least $2 billion, and be listed or accepted for listing on the Nasdaq Global Select Market. In addition, they must either post a total revenue of at least US$90 million (S$115.6 million) in the latest completed financial year, or satisfy income or assets with equity requirements.
They will be delisted from the GLB if they do not maintain their listing on the Nasdaq Global Select Market. A Singapore resident independent director or Singapore-based compliance adviser must also be appointed.
To facilitate retail participation, they must allocate a minimum of 5 per cent or $50 million of their offering, whichever is less, to at least one designated retail brokerage in Singapore. This is currently not required for IPOs in the US.
SGX RegCo will retain discretion over the admission and continued listing of securities on the GLB.
Public consultation on the proposed amendments will close on Feb 8.
Some industry insiders welcomed the move, although others noted that the changes, if carried out, hinge on the stock market continuing its current run.
Mr David Gerald, chief executive of the Securities Investors Association (Singapore), or Sias, said the proposed changes could bring the best of both markets to investors in Singapore, and noted that Sias would continue to play its role in helping to educate investors.
But Mr Robson Lee, director at law firm Legal Solutions, noted that attracting new and large issuers to list on the GLB would depend on the Singapore market sustaining the upswing momentum seen since the second half of 2025.
He added that an immediate challenge facing the GLB would be the availability of issue managers, underwriters and placement agents who are knowledgeable in the capital market requirements and practices in both the US and Singapore.
“There would also need to be requisite distribution and selling networks to competently conduct road shows and undertake the sale of the issuer’s securities.”
Mr Lee also noted that the safe harbour provisions could “pose a challenge to how authorities determine if there has been a breach in regulations by the issuer, and how they would exercise prosecutorial discretion”.
Clarification note: This story has been updated for clarity.
