Bonds (debt securities) issues can be accepted to the Official Market or to the Regulated Market on the Prague Stock Exchange.The Official Market may only accept the issues which meet the demanding statutory requirements of the official securities market.
Who is the Official Market and the Regulated Market intended for?
Official Market is intended exclusively for trade in the largest and most prestigious bonds issued by the entities coming from the sector of public administration, corporations and financial sector. If they adhere to the statutory rules of the Official Market they must primarily meet the criterion of minimum issue volume of EUR 200 000.
Regulated Market is intended for trade in the major bonds and other debt securities issued by the entities coming from the sector of public administration, corporations and financial sector. The Regulated Market may accept the issues which meet the less demanding statutory requirements of the Regulated Market.
Upon its admission to the Official Market each issuer undertakes to fulfil its disclosure duty in Czech, Slovak or English.
What needs to be done to be admitted to the market?
For the debt securities issues to be accepted to the Official Market, the following must be submitted:
- application for admission (in Czech, Slovak or English)
- security prospectus
- certification of ISIN allocation or that of similar identification code
- signed framework agreement between the issuer and the Exchange
- confirmation from the Central Depository regarding the registration of the issue (for dematerialised securities), or 4 templates of the certificates (for certificated securities), or confirmation of registration of the issue in similar foreign register
- certificate of incorporation in the Commercial Register or similar foreign register
- financial statements for the last 3 years (in case of the Official Market)
The Exchange CEO must decide about the admission of an issue of bonds within 10 business days of the delivery of the respective application.
The following fees are associated with the admission of the issue to the Official Market:
- the lump-sum fee for admission is CZK 50,000
- for bonds with term of less than 12 months, the fee amounts to CZK 5,000 (in case of the Regulated Market only)
- the lump-sum fee for the admission of a bond programme is CZK 100,000
- annual fee for trading of the issue in the amount of 0,05% of the issue's volume, but up to the amount CZK 300,000 in case of the Official Market or annual fee for trading of the issue CZK 10,000 in the case of the Regulated Market