UK plans to free up listing rules to attract sovereign-controlled companies could have a detrimental impact on the region’s reputation for sound corporate governance, warns the Institute of Directors.
Plans to open up UK listing rules to attract sovereign-controlled companies are “opportunistic” and “could exert a detrimental impact” on its reputation for sound corporate governance, the Institute of Directors (IoD) has warned.
In a strongly-worded submission to the Financial Conduct Authority’s consultation on creating a premium listing category for sovereign-controlled companies, the IoD flagged up the potential risk for state-run interference over these companies. It has not only called on the authority to reconsider its plans, but to strengthen them.
“We have no objection to the creation of a new sub-set of the premium
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