Brussels, 08/06/2016 (Agence Europe) - On Wednesday 8 June, the member states, at Permanent Representative level, agreed on a proposed regulation modifying the rules on the prospectuses that must be published by European businesses aiming to raise capital, in order to provide potential investors with information, and extended the scope of exemptions for SMEs.
On behalf of the Presidency-in-exercise of the Council, the Dutch Minister, Jeroen Dijsselbloem, said that the reform would help businesses in need of finance to gain access to European capital markets. “The prospectus is an essential instrument for investors, but legal requirements must not create unnecessary barriers to raising capital”, he added.
The Commissioner for Financial Services, Jonathan Hill, welcomed the swift agreement between the states. He said that he hoped that talks with the EP would be able to start in September. The EP has fallen behind on this dossier, as the reporter who was appointed stepped down to join the Flemish government in Belgium. European Issuers, the organisation which represents listed companies, on the other hand, expressed concerns that, similarly to the previous revisions of the rules on prospectuses, it may fail truly facilitate access to capital markets for companies if the issuers' concerns are not taken into consideration.
EUROPE will return in greater detail to the outcome of the discussions at the Council this Thursday. The Ecofin Council has yet to approve the agreement. (Original version in French by Élodie Lamer)