Tuesday March 21 2023

News Source: Global Exchanges

Focus: Stock Exchange Regulation

Type: General

Country: Canada

Link: https://bit.ly/40GbHij




The Canadian Securities Exchange (CSE) proposed changes (“Amendments”) to CSE Form 2A Listing Statement to clarify certain disclosure requirements of Form 2A.

Form 2A is a comprehensive disclosure document that must be filed with all new listing applications.  The purpose of Form 2A is to provide at the time of listing full, true and plain disclosure by providing a narrative format based on the requirements set out in Form 41-101F1 Information Required in a Prospectus. CSE is seeking feedback on the disclosure requirements of Form 2A and the use of Form 2A for certain types of listing applications.

Description of the Changes

Cover Page: The proposed Form will include a cover page that includes the Issuer name, date, and a designated space for additional risk disclosure if required, similar to cover page disclosure in a prospectus.  Given the aligned requirements of Form 41-101F1 and CSE Form 2A, additional language has also been added to remind readers that the Listing Statement is not a prospectus.

Reference to Prospectus:  The current introduction to Form 2A states that the Exchange requires “prospectus level” disclosure in the document. This will be amended to provide the same disclosure as that required by Form 41-101F1, to reinforce the disclosure requirement and purpose of Form 2A.

General Instructions: The prescriptive instructions will be replaced with a paragraph describing the Disclosure Requirements of Form 2A.

Filing and Disclosure Requirements

The instructions confirm that a Listing Statement must include the disclosure required in Form 41-101F1 and provides specific circumstances for which that requirement may be met by the incorporation of existing disclosure documents such as a prospectus or Form 51-102F5 Information Circular.

The Amendments are expected to be implemented following the comment period and OSC and BCSC approval.

Comments are requested to submitted no later than April 3rd, 2023.

Click on the above link for further information