EUROPEAN UNION: ESMA Assesses Turkish Laws and Regulations on Prospectuses

Tuesday February 9 2016

The European Securities and Markets Authority (ESMA) has reviewed Turkish legislation governing prospectus disclosure requirements and concludes that a prospectus drawn up against Turkish requirements can constitute a valid prospectus under the Prospectus Directive for the purposes of its approval by the home competent authority of a Member State.

Based on the assessment work and in accordance with the ESMA opinion on the framework for third country prospectuses under Article 20 of the Prospectus Directive (ESMA/2013/317), ESMA considers that a prospectus drawn up according to Turkish laws and regulations can constitute a valid prospectus under the Prospectus Directive for the purposes of its approval by the home competent authority of a Member State.

Furthermore, on the basis of the assessment of the Turkish prospectus regime as it currently stands, ESMA considers that a wrap accompanying a Turkish prospectus for shares, in order that such may be approved by a competent authority of a home Member State as a prospectus under the PD, is not necessary to make it equivalent with the requirements under the PD, provided that the prospectus contains financial statements in accordance with IFRS. The opinion does not however limit the discretion of national competent authorities to require additional information either in the prospectus or a wrap thereto.

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