ISLAMABAD: The Central Depository Company (CDC), at the request of the Securities and Exchange Commission of Pakistan (SECP), has announced a comprehensive fee relief package for existing unlisted companies required to convert their physical shares into Book-Entry Form. Under the package, the annual fee for companies with paid-up capital up to Rs25 million will be waived for the first year, while the security deposit fee, initial conversion deposit, and security deposit processing fee will be waived for all unlisted companies for the same period. Unlisted companies with paid-up capital exceeding Rs25 million will be required to pay only the applicable annual fee, while security deposit and conversion-related charges will remain waived for the first year. The relief will also be available to unlisted companies that voluntarily convert their physical shares into Book-Entry Form with CDC. The SECP has recently issued SRO 328(I)/2026 mandating unlisted companies to convert their physical shares into book-entry form. The requirement applies to companies undertaking share-related transactions in the future, including transfer of shares, issuance of bonus shares, issuance of right shares or shares other than by way of rights, and buy-back of shares. The measure is aimed at facilitating the transition of unlisted companies to the Central Depository System (CDS), reducing the cost of conversion to book-entry shares, and supporting the shift toward a secure, efficient, and paperless shareholding environment. Copyright Business Recorder, 2026