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  • GR-5.2 GR-5.2 Definition of Controller of a Bahraini Investment Firm Licensee

    • GR-5.2.1

      A controller of a Bahraini investment firm licensee is a natural or legal person who, either alone or with his associates:

      (a) Holds 10% or more of the issued and paid up capital in the licensee or parent undertaking; or
      (b) Is able to exercise more than 10% of the voting power over the licensee or the parent undertaking.
      Amended: October 2015
      Amended: July 2007

    • GR-5.2.2

      For the purposes of Paragraph GR-5.2.1, 'associate' includes:

      (a) In the case of natural persons, a member of the controller's family;
      (b) An undertaking of which a controller is a Director;
      (c) A person who is an employee or partner of the controller;
      (d) If the controller is a legal person, a Director of the controller, a subsidiary of the controller, or a Director of any subsidiary undertaking of the controller; and
      (e) Any other person or undertaking with which the controller has entered into an agreement or arrangement as to the acquisition, holding or disposal of shares or other interests in the investment firm licensee, or under which they undertake to act together in exercising their voting power in relation to the investment firm licensee.
      Amended: October 2015
      Amended: July 2007

    • GR-5.2.3

      In addition to the provisions of this Chapter, listed companies and their controllers shall be bound by the CBB s regulatory requirements for capital markets stipulated in the CBB s Rulebook related to changes in the ownership of shares in listed companies. For overseas investment firm licensees, Section GR-5.5 shall apply.

      Amended: October 2015
      Amended: July 2007

    • GR-5.2.4

      The restrictions set forth in this Chapter shall apply to any changes in the legality of the shares ownership of the controllers in the licensees, or to the voting powers the controllers are entitled to in the licensees. Failure to comply with such restrictions shall result in the imposition of penalties as indicated in Module EN (Enforcement) of the CBB Rulebook. The imposition of such penalties shall not affect the CBB s right to impose other penalties and to take any other administrative measures against the controller in accordance with the provisions of the Law including preventing the controller from exercising his voting right or transferring of shares.

      Added: October 2015