Electronic payment of cash distributions
8.51
Must a listed corporation amend its articles of association to allow for payment of cash dividends electronically to its shareholders pursuant to Rule 8.28A of the ACE LR?
By virtue of Rule 7.36 of the ACE LR, a listed corporation is in a position to pay cash dividends to its shareholders electronically pursuant to Rule 8.28A of the ACE LR regardless of what may be stated in its articles of association in relation to cash dividend payment.
Notwithstanding this, to ensure that the listed corporation's articles of association are updated and comprehensive, it should proceed to amend the relevant provisions in its articles of association that may be inconsistent with the requirements for the listed corporation to pay cash dividends electronically as set out in Rule 8.28A of the ACE LR. An amendment to its articles of association, if required, may be done at the listed corporation's next annual or extraordinary general meeting.