Mubasher: The Abu Dhabi Securities Exchange (ADX) and the Saudi Securities Depository Center Company (Edaa) signed a memorandum of understanding (MoU) to expand their mutual cooperation, especially regarding dual listing on the Saudi and UAE bourses.
The deal, which was signed on Saturday in Riyadh, aims to clarify technical procedures of listing between the two GCC nations via exchanging data which are included in the ownership register or relevant to deals implemented by brokers, the two entities said in a joint statement.
The agreement will also allow for updating securities ownership, as well as transferring securities.
“The MoU with EDAA will enhance the Exchange’s efficiency in the governance of dual listing operations, which in turn will increase the Exchange’s attractiveness to foreign investors, enhance liquidity and boost investor trading.” ADX’s acting CEO Khalifa Salem Al Mansouri said.
The MoU will enable each firm to inaugurate a deposit account with the other and transfer securities, EDAA’s CEO Mamdooh AlSedairy explained.
“The MoU facilitates knowledge exchange programmes, possibility of utilising the expertise that both stock exchanges have, interchange of financial market data and dual listing opportunities as well as cooperation in market-development initiatives,” AlSedairy indicated.
