The bill on “Amendment of Certain Legislative Acts of Ukraine (on Simplifying Business and Attracting Investments by Issuers of Securities)" No. 5592-d, as of April 20, 2017 related to simplifying the conduct of business by joint-stock companies was supported by 237 MPs.
The law contains improved articles on the design, approval, and publication of the securities prospectus and the validity period of such prospectus. One of the changes is the cancellation of the promulgation of the securities prospectus in paper form. In addition, the norms concerning informative parts about an issuer have been improved. Also, the threshold for disclosure of information about owners of voting shares of private joint-stock companies was reduced from 10% to 5%.
The main goal of the law is to reduce the regulatory burden for private joint-stock companies and de-monopolize the ways of disclosure.
As of present, the minimal expenses of a PJSC stand at about UAH 21 000 a year for information disclosure. The adoption of the bill and the waiver of PJSC title will reduce these costs to UAH 5,600.
