Gdr Listing Rules

Gdr Listing Rules

As no GDRs have been listed on SIX to date, SIX took advantage of the growing interest of Chinese companies in listing GDRs on SIX to assess whether the existing listing and trading rules required reform. As a result, SIX`s Regulatory Board announced in its press release of 17 May 2022 that the existing issuer and trading rules would be amended from Q3 2022. With the announced changes, SIX aims to make the listing and trading of GDRs on SIX more attractive. In accordance with this press release, an application for approval of the revised regulation has been submitted to the Swiss Financial Market Supervisory Authority (FINMA). This practice note concerns the admission of Global Depositary Receipts (GDR) to official listing by the Financial Conduct Authority (FCA) and to trading on the main market for listed securities of the London Stock Exchange (main market) (LSE). GDRs are tradable certificates issued by custodians that represent ownership of a company`s shares and can be listed and traded separately from the underlying shares. A RFI can be listed either on the main market via a standard listing or on the LSE`s Professional Securities Market (PSM). This practice note does not address the requirements that must be met when RDMs are admitted to psM negotiations. Under the listing rules, a company, usually a bank, issues certificates representing specific securities or depository receipts representing shares that have been admitted to listing or are the subject of an application for admission to listing. Finally, GDR`s listing and reporting fees are based on applicable listing rates and remain virtually identical to those of the mid- and small-cap equity trading segment.

The planned changes relate exclusively to the conditions for maintaining a listing and trading rules, but will not affect the requirements for listing RDGs at SIX. The proposed changes are intended to create a regulatory framework comparable to that of other trading venues, and most of the changes appear initially to be motivated by investor protection considerations. These amendments also clarify SIX`s view that a listing of GDR cannot be considered either a primary listing or a secondary listing, but is closer to a primary listing of equity securities. In addition, it is to be hoped that the reduction in trading hours will not diminish the substantial interest of Chinese issuers in listing in the GDR on SIX. Therefore, the following changes to the RL are planned, which affect the conditions for maintaining the listing (but not the registration requirements as such): On July 28, 2022, Ningbo Shanshan Co. raised USD 310.5 million through the issuance and listing of GDR on SIX. About three months ago, the London-Shanghai Stock Connect program was extended to companies listed on the Shenzhen Stock Exchange and the Swiss and German stock exchanges. This expansion of the equity trading link has already had an impact, as several Chinese companies are soliciting donations from SIX through the listing of Global Depository Receipts (“GDR”) (see our blog “Expansion of China`s Stock Connect Program”). SIX Exchange Regulation (“SER”), the oversight of self-regulation of issuers listed on SIX, appears to believe that the current SER (“LR”) listing rules have less stringent obligations in some areas than in other financial centres, which could be negative from the investor`s point of view.

must comply with the relevant parts of the listing rules, the Prospectus Regulation and the Disclosure and Transparency (DTR) rules published by the FCA, as well as the admission and disclosure standards of the ESA. This practice note explains some common financial measures used in commercial financial transactions, including:•Minimum Asset Test•Leverage Ratio•Leverage Ratio (or Leverage Ratio)•Current Ratio (or Hardness Test Ratio)•Cash Flow Ratio•Interest Hedging Ratio and•Loans For more information, see the SEC website`s Privacy and Security Policy. Thank you for your interest in the U.S. Securities and Exchange Commission. Claim for False Representation by Negligence or Misrepresentation by Negligence – Practical ConsiderationsA claim for negligent misrepresentation can often be made in conjunction with or as an alternative to a claim for negligent misrepresentation. It is therefore useful to have advised ADVANZ PHARMA, a London-based specialist pharmaceutical company, on the main practical considerations relating to VISCHER. Unauthorized attempts to upload information and/or alter information to any portion of this website are strictly prohibited and liable to prosecution under the Computer Fraud and Abuse Act of 1986 and the National Information Infrastructure Protection Act of 1996 (see 18 U.S.C. §§ 1001 and 1030). If a user or application sends more than 10 requests per second, other requests from the IP address may be restricted for a short period of time. Once the request rate drops below the threshold for 10 minutes, the user can continue to access the content on SEC.gov. This SEC practice is designed to limit excessive automated searches to SEC.gov and is not intended or should not affect individuals who visit the site SEC.gov. We are particularly proud of our Tier 1 ranking in the area of “Financial Services Regulation”.

For the purposes of the listing settlement, a GDR is a “certificate of certain securities”. The definition is included in the glossary of the FCA Manual, but in summary, it is a certificate that confers a new trading segment contractually or according to the GDR`s press release on SIX. This trading segment is intended to be based on the model of the mid/small cap stock trading segment. However, trading does not open before 3 p.m. (CET). These reduced trading hours are intended to ensure compliance with the ongoing ad hoc disclosure requirements of issuers in both countries. In addition, deadlines for reporting transactions in the GDR are included in the rules of the reporting office. If you have any questions or need detailed advice, please contact our Banking & Finance team, supported by our China Desk team. Please report your traffic by updating your user agent to include company-specific information.

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