We use cookies

Moalem Weitemeyer uses cookies, including cookies from third parties, needed to make the website work and to enhance the user experience. Cookies are also used to detect inexpediencies and to examine your interactions with our website. Read more about how we use cookies and take care of your data here

Necessary/functional

Statistical

Accept

4 April 2023

The Requirement of "Comprehensibility" in a Prospectus

Group 7 Created with Sketch.
Download PDF version
Prior to publishing a prospectus, an Issuer must ensure that the information in the prospectus is complete, consistent, and comprehensible in order to obtain approval from the Danish Financial Supervisory Authority (“DFSA”).

The criteria to determine when these requirements are satisfied are set out in Article 36-38 in Commission Delegated Regulation (EU) 2019/980 of 14 March 2019 (“Delegated Regulation”) supplementing Regulation (EU) 2017/1129 of the European Parliament and of the Council of 17 June 2017 (“Prospectus Regulation”). The DFSA may also establish criteria additional to those listed in articles 36-38 of the Delegated Regulation.

If the prospectus does not satisfy the requirement of comprehensibility, the DFSA may reject approval. On 28 March 2023, the DFSA issued a short form memo on the requirement for “comprehensibility” in a prospectus with the purpose of contributing to a better understanding of the underlying meaning of the requirement in practice.

Below is a short summary of the DFSA’s comments in relation to the specific criteria set out in Article 37 of the Delegated Regulation.

Dan Moalem

Partner

+45 30 37 96 10

Go to profile

Joachim Buznicki Nørlem

Senior Associate

+45 30 37 96 02

Go to profile

Kadir Kurt

Associate

+45 30 37 96 27

Go to profile

The Latest

See all insights

22 March 2024

Lennart Meyer Østenfjeld joins as Partner

5 March 2024

Danish Crown – Judgment about Greenwashing

13 February 2024

Distressed M&A - Navigating through the Challenges

25 January 2024

New bill with significant changes on the Danish Competition Act in consultation

7 January 2024

Can AI be considered the inventor of a patent?

1 January 2024

Andreas Hvid Clement joins as Partner and Head of Real Estate M&A

19 December 2023

The political Agreement on the EU Artificial Intelligence Act ("the AI Act") and new important Judgments from the CJEU on GDPR Fines and Damages Actions

1 December 2023

Happy Holidays!

30 November 2023

Dan Moalem: Thought Leader in M&A

18 November 2023

EU proposes Changes to Capital Markets: A Focus on SME Growth and Multiple-Vote Share Structures