The Securities and Exchange Commission of Pakistan (SECP) has formally notified the final amendments to the country’s public offering regime, introducing a modernized framework for equity and debt market activities.
The revised regulations, effective from August 6, 2025, are designed to streamline the process of Initial Public Offerings (IPOs) and enhance market transparency.
The updated regime encompasses both the Public Offering Regulations, 2017, and the Public Offering (Regulated Securities Activities Licensing) Regulations, 2017. Together, these rules govern the issuance of equity securities, debt instruments, and units of Real Estate Investment Trusts (REITs) to the general public. According to a press release, all future IPOs will now be executed strictly under the amended framework.
The SECP emphasized that the reforms were finalized after extensive consultations with key stakeholders, including banks, brokers, and institutional investors. Among the notable changes are provisions allowing banks and Development Finance Institutions (DFIs) to act as Consultants to the Issue for equity offerings. Another significant reform replaces the single-bookrunner model with the concept of “Eligible Participant,” creating a more competitive and inclusive price discovery mechanism.
By leveraging technology and widening investor participation, the SECP aims to make Pakistan’s capital market more transparent, competitive, and investor-friendly. Notifications and detailed guidelines on the amendments have been made publicly accessible on the SECP website, ensuring that market participants can align their operations with the new standards.