The New EU Market Abuse Regulation: An Overview for UK Issuers

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detailed provisions for issuers to follow when carrying out market soundings. 

The Market Abuse Regulation ("MAR"), which seeks to harmonise and strengthen the EU regime relating to market abuse, the disclosure and control of inside information and dealings by persons discharging managerial responsibilities ("PDMRs"), will apply in the UK from 3 July 2016.

MAR will replace the market abuse provisions in Part VIII of FSMA and the Model Code in Chapter 9 of the Listing Rules. Substantial changes will also be made to parts of the FCA Handbook, including the Code of Market Conduct and Chapters 2 and 3 of the Disclosure and Transparency Rules. 

Our briefing for UK issuers sets out some of the key issues. Points of particular note include:

  • A new requirement for issuers to inform the FCA if they have delayed the disclosure of inside information and, if requested by the FCA, to explain why such delay was consistent with the relevant provisions of MAR. 
  • Amendments to the regime for the approval and reporting of PDMR transactions. 
  • An extension of the civil market abuse regime to new markets and instruments and to add extraterritorial scope. 
  • The introduction of new and detailed provisions for issuers to follow when carrying out market soundings.