RE: More info on rule 14 explained12 May 2018 11:20
Looks like its pointing towards the NOMADS not following correct due diligence—— from London Stock Exchange——— AIM RULE 14 – SUSPENSION ON ANNOUNCEMENT OR LEAK OF A REVERSE TAKEOVER
Our approach towards suspending companies pursuant to Rule 14, which are in the process of a reverse takeover that has leaked or been announced, has not changed despite amendments to the UKLA’s approach for listed companies as communicated in LIST! 25 (July 2010).
If a reverse takeover has been announced or leaked, the requirement remains that an admission document must be published in respect of the enlarged AIM entity in order to avoid suspension of the company’s shares. We have not changed this approach and continue to require audited financial information on the target.
It continues to be the case that we will not suspend an AIM company if the target is on the Main Market or is another AIM company. If the target is on an AIM Designated Market or other EU Regulated Market we will consider maintaining continuous trading where the nomad can demonstrate that information equivalent to that required by an admission document is publicly available, in English. In such circumstances the admission document for the enlarged entity can then be published at a later date. However, if only part of the target is being acquired suspension may still be required, depending on how the target’s results have been presented. AIM Regulation should be contacted in advance in all cases to ascertain whether suspension is required.
The different nature of most companies on AIM from those on the Main Market means that a different approach remains sensible. Factors such as the market impact of a leak of information or a suspension, the nature of information available on a target entity and the requirements for admission documents (versus a prospectus) all differ for AIM compared to the Main Market.
Sign In
Follow the stocks
