The European Commission, as part of its Capital Markets Union action plan and its commitment to simplify and harmonize EU laws, on November 30, 2015 adopted a proposal for a new prospectus regulation, intended to replace the EU Prospectus Directive 2003/71/EC as amended (the “Prospectus Directive”) along with its corresponding implementing measures.  The new proposal aims mainly at simplifying the rules for companies wishing to issue shares or debt on the market and reducing the costs of preparing a prospectus, thus fostering cross-border investments in the single market, while at the same time still enabling investors to make informed investment decisions. In addition, transforming the Prospectus Directive into a regulation would serve the purpose of addressing the problems that typically arise in the transposition of a directive and enhancing coherence and integration throughout the internal market, while reducing divergent and fragmented rules across the Union.

View full memo, Prospectus Directive: The Commission’s Proposal for a New Prospectus Regulation