By James Langton
(November 7 – 14:50) – The Alberta Securities Commission has made available a presentation of the new prospectus requirements on its Web site. The presentation was originally given at an ASC seminar held on November 3.
The presentation covers the new prospectus requirements coming into force in Ontario at the end of the year that form the basis for a new national instrument. In the interim, issuers can follow the new Ontario Securities Commission rule instead of local prospectus requirements.
The presentation discusses the features of the new OSC rule. Major changes include:
- the introduction of one form for all industries;
- changes to financial disclosure requirements;
- increased disclosure reguirements for directors;
- officers and promoters; and
- the introduction of “plain language” requirements.
The presentation also discusses new short-form prospectus options, calling it a “big win for issuers”.
Ontario’s move to streamline prospectus disclosure comes as the securities commissions shift their focus from prospectus disclosure to continuous disclosure, allowing easier offering procedures, but tougher ongoing reporting requirements.
Other elements of the presentation looks at business acquisitions and dispositions, offering a comparative analysis of the OSC, Canadian Securities Administrators and the Securities and Exchange Commission. It also looks at rules for oil and gas properties acquisitions, and the exemption for junior issuers.