Introduction to Related Party Transactions (RPTs) Related Party Transactions (RPTs) are among the key corporate governance areas regulated under the Bursa Malaysia Main Market Listing Requirements (“MMLR”). Under the MMLR, a “related party transaction” is a transaction entered into by a listed issuer or its subsidiaries that involves the interest, direct or indirect, of a …
Bursa Malaysia Listing Requirements (LR) is one of the key components of the regulatory framework governing Malaysia’s capital market. Together with other applicable laws, regulations, and guidelines, they are designed to promote fair disclosure, sound corporate governance, market transparency, and investor protection. While most listed companies are familiar with the broad framework, compliance breaches relating …
Environmental, Social and Governance (ESG) practices have rapidly evolved from voluntary commitments into structured disclosure requirements in Malaysia. For listed companies, ESG reporting is now a regulated obligation aligned with international standards. For SMEs, while not mandatory, strong ESG practices are becoming increasingly important for competitiveness, supply-chain access and financing. This article summarises what companies …
What are ESG requirements for listed companies (ACE and KLSE) and SMEs? Read More »
In the life cycle of a company, financial restructuring is sometimes necessary to ensure the capital structure remains efficient and aligned with business realities. One key tool available to companies under Malaysian law is a reduction of share capital — a strategic exercise that allows a company to recalibrate its paid-up capital to better reflect …
Reduction in Share Capital: What It Is, and Why (or When) It Makes Sense Read More »
Running a successful business today requires more than just strong sales or an innovative product. Organisations must navigate a complex environment shaped by regulatory requirements, financial pressures, technological disruption, and evolving stakeholder expectations. In this challenging environment, internal auditors have emerged as a critical resource—not just for managing risks, but also for driving sustainable growth …
What Value Do Internal Auditors Bring to My Company and Why Should We Engage One? Read More »
Whistleblowing has become a cornerstone of good governance and ethical business practices worldwide. In Malaysia, the importance of robust whistleblowing policies has grown in recent years as both public and private sectors work to combat corruption, fraud, and other forms of misconduct. With legislation in place and increasing corporate governance expectations, whistleblowing has become an …
In a major step forward for data governance, Malaysia will begin enforcing the First Tranche of Data Protection Guidelines on 1 June 2025, pursuant to the Personal Data Protection (Amendment) Act 2024. These new guidelines introduce two critical obligations for organisations operating in Malaysia: the mandatory appointment of a Data Protection Officer (DPO) and mandatory …
Malaysia’s New Data Protection Guidelines: What Businesses Need to Know Read More »
Having explored the fundamentals of ESG in our previous article, this piece dives into how ESG strategies translate into real, measurable value and profitability. We will explore how companies in Malaysia are embedding it into their business models—from renewable energy investments to biodiversity programmes—to drive efficiency, de‑risk their operations, and grow revenues. 1. Operational efficiency …
How can ESG Practices Drive Value and Profitability? Read More »
On 16 December 2024, the Companies Commission of Malaysia (SSM) issued Practice Directive 10/2024, introducing new qualifying criteria for audit exemption. These exemptions are designed to reduce the regulatory and compliance burden for micro, small and medium-sized enterprises in Malaysia while maintaining transparency and regulatory compliance. This Practice Directive is applicable for private companies (Sdn …
New Audit Exemption Criteria for Private Companies in Malaysia Read More »
ESG (Environmental, Social, and Governance) has become a pivotal framework for assessing corporate responsibility, sustainability, and investment opportunities. As both businesses and investors adopt ESG principles, understanding the key terminology becomes essential for navigating this growing domain. Breaking down ESG terminology 1. Carbon footprint A carbon footprint measures the total greenhouse gas (GHG) emissions associated …