The government wants to make the issue of shares. IPO below one million euros without investment mediation

Companies conducting securities with a value of lower than EUR 1 million will not have to use the investment mediation – according to the draft amendment to the Act on trading in financial instruments published on Monday.

On Monday, a draft amendment to the Act on trading in financial instruments was published on the pages of the Government Legislation Center. The project prepared by the Ministry of Finance is aimed at – as follows from the justification – the elimination of “over -regulation in the scope of the investment company's obligation for public offers less than the equivalent of EUR 1,000,000”.

The justification shows that until December 2024 there was an exemption from the brokerage of investment companies for the issue of shares or other securities worth from 100,000. euro up to EUR 1 million. However, the provision in the Act regarding this exemption referred to EU regulations, specifically to one of the Regulations of the European Parliament and of the Council (EU). However, the EU regulations were changed in such a way that they introduced the bottom threshold of the public offer, requiring brokering, at EUR 1 million. As a result, the scope of Polish regulations has changed and in “the consequences of public offers with a value less than 1,000,000 euros (…) do not benefit from the exemption from the obligation to mediate the investment company”.

“(…) it is proposed to indicate (…) the exclusion of the intermediary of an investment company for public securities offers, as a result of which the assumed revenues of the Issuer's gross or offering on the territory of the Republic of Poland, calculated according to their issue price or the sale price of its determination, constitute less than 1,000,000 euros (along with the influence that the issuer or the offender intended to obtain from public offers of such full -time in the previous 12 months) ” – indicated in the justification to the project.

It was added that this change would restore previously applicable rules in the field of investment company intermediation in public offers, subscriptions or sale of securities, which is to facilitate the issue of such papers. The planned act is to enter into force 14 days from the date of publication. (PAP)

MS/ Mick/