Arrangements for qualifying project debt securities
4.—(1) The arrangements referred to in paragraph (a) of the definition of “qualifying project debt securities” in section 13(16) of the Act are as follows:
(a)
where the qualifying project debt securities are not issued under a programme —
(i)
the lead manager for the issue of the qualifying project debt securities is a financial sector incentive (bond market) company or a financial sector incentive (project finance) company; or
(ii)
the issue of the qualifying project debt securities is arranged by a financial institution in Singapore, of which the staff who are based in Singapore have a leading and substantial role in originating and structuring the issue and its distribution;
(b)
where the qualifying project debt securities are issued under a programme, the programme as a whole is arranged by a financial sector incentive (bond market) company or a financial sector incentive (project finance) company;
(c)
where the qualifying project debt securities are issued by a new issuer who joins an existing programme which does not satisfy the requirement in sub-paragraph (b) —
(i)
the participation of the new issuer in the programme is arranged by a financial sector incentive (bond market) company or a financial sector incentive (project finance) company; and
(ii)
the existing programme as a whole was arranged —
(A)
on or before 31st December 2003, by an approved bond intermediary or an affiliate of an approved bond intermediary; or
(B)
on or after 1st January 2004, by a financial sector incentive (bond market) company or a financial sector incentive (project finance) company or an affiliate of a financial sector incentive (bond market) company or financial sector incentive (project finance) company; and
(d)
where the qualifying project debt securities are issued under a tranche of a programme which does not satisfy the requirement in sub-paragraph (b) or (c), the dealers for more than half of the qualifying project debt securities issued under that tranche are —
(i)
financial institutions in Singapore, of which the staff who are based in Singapore have a leading and substantial role in the distribution of the qualifying project debt securities;
(ii)
financial sector incentive (bond market) companies; or
(2) For the purposes of paragraph (1)(a)(ii) and (d)(i), the staff of a financial institution in Singapore (other than an approved bond intermediary, a financial sector incentive (bond market) company or a financial sector incentive (project finance) company) who are based in Singapore shall be deemed not to have a leading and substantial role in originating and structuring an issue of qualifying project debt securities, or in its distribution, if the staff of that financial institution, its affiliate or otherwise, who are based outside Singapore have a major role in the originating, structuring or distribution of the issue.