The CG Rating Project was
initiated by the Office of the Securities and Exchange Commission
(SEC) and the Stock Exchange of Thailand (SET) in conjunction
with Thai Rating and Information Services Co., Ltd. (TRIS)
as a credit rating agency. This project has two aims. It tries
to educate listed companies about the importance of a good corporate
governance, by increasing investors' awareness and helps award
assistance from related government agencies. It also strives
to provide credit-ranking information to investors that may
influence their investment decisions. Consequently, these advantages
will possibly encourage other listed companies to develop their
corporate governance up to a qualifying standard, so they too
can enjoy its benefits.
The SEC and SET collaborate to provide support
by offering many privileges to listed companies earning
a CG rating of more than seven points and report this
score to the public, as follows:
Privileges from the SEC
- Facilitate the fund raising process
- Reduce the enactment of tender offering
from 15 days to only one day
- Reduce the annual fee and securities issuing
fee by 50%
Note that these listed privileges will
cover a period of three years
Privileges from the SET
The SET offers a 50% discount on its annual
fee for two consecutive years. If the annual fee is greater
than the corporate governance rating fee, the SET provides
funding support to absorb the difference when company
announces its ranking result to the SET and the public.
However, these conditions will only apply to interested
companies registering for a CG rating before December
31, 2546.
