Enhancements to Regulatory Regime for Property Valuation and Auditors

Enhancements to Regulatory Regime for Property Valuation and Auditors Between 16 January 2020 and 14 February 2020, SGX issued a consultation on “Enhancements to Regulatory Regime for Property Valuation and Auditors” to seek feedback on its proposals to strengthen oversight of audits and raise the reporting standards of property valuation by listed companies. Subsequently, SGX had, on 12 January 2021, released the amendments to the Listing Rules, which will take effect from 12 February 2021. There are 4 main changes to the Listing Rules: 1.

Regulatory regime for conduct of auditors All primary-listed issuers must appoint an auditor registered with the Accounting and Corporate Regulatory Authority (ACRA) to conduct their statutory audits. Secondary-listed issuers from developed markets may continue to use auditors from their own jurisdictions. For all other secondary listed issuers, SGX RegCo will assess if appointment of an auditor that is registered with ACRA is required on a case-by-case basis. Existing issuers must appoint an auditor in accordance with the revised Listing Rules, for their financial year beginning on or after 1 January 2022. Primary listing applicants who enter into IPO mandates on or before 12 January 2021 and submit their applications to SGX by 30 June 2021 may continue the appointment of the foreign auditor without a Singapore counterpart. However, they must appoint their Singapore auditors post-listing, to perform the audit for their financial statements for their financial years beginning on or after 1 January 2022, as with existing issuers.