Section 308 Investments and Securities Act

Section 308 of the Investments and Securities Act 2025 is about Issuance of debt securities subject to prior review and approval. It is under Part XVI (Issuance of Securities) of the Act. It provides as follows:

(1) A company whether local or foreign, supranational body or other approved entity shall not issue debt securities to the public without the prior review and approval of the Commission.

(2) The Commission may make rules and regulations for the purpose of giving effect to the provisions of subsection (1) which shall include —
(a) the eligibility criteria for the issuance of debt securities;
(b) the mode of issue;
(c) the minimum rating requirements;

(d) the disclosure and reporting requirements;
(e) the fees to be paid in respect of anything to be issued or done under the provisions of this Part;

(f) matters that shall at the minimum be provided for and covered in a trust deed or other like instrument; and
(g) matters required, prescribed, incidental or connected to this section.

(3) An entity referred to in subsection (1) may not issue debt securities where it is in default of payment of interest or repayment of principal in respect of previous debt issuances for a period of more than one month.