The European Commission is holding consultations regarding an amendment of the Prospectus Directive. It intends to improve and simplify the application of the directive and lessen the administrative burden. The Commission proposals relate to:

  • the definition of qualified investors;
  • the exemption for personnel schemes and the event that securities are placed via financial intermediaries;
  • the annual obligation to provide information;
  • the length of the period in which investors have the right to withdraw their acceptance;
  • the threshold of EUR 1,000 for issues of non-equity securities.

In addition, the Commission has asked market parties to submit their views on some other subjects, including (i) the definition of “offer of securities to the public”, (ii) disclosure requirements for small business, in the event that an issue is guaranteed by a member state and in claims issues, (iii) the summary of the prospectus, and (iv) the responsibility for the prospectus.