Amended Proposal For Cross-Border Prospectuses in Single Market
The European Commission has presented an amended proposal for a Directive on prospectuses, taking account of the European Parliament’s opinion on the original proposal put forward by the Commission on 30 May 2001. The amended proposal aims to make it easier and cheaper for companies to raise capital throughout the EU, while reinforcing protection for investors by guaranteeing that all prospectuses, wherever in the EU they are issued, provide them with the clear and comprehensive information they need to make investment decisions. The Directive would introduce a new ‘single passport for issuers’. Once approved by the authority in one Member State, a prospectus would then have to be accepted everywhere else in the EU Approval would only be granted if prospectuses meet common EU standards for what information must be disclosed and how.