ESMA urges companies to report “without delay” on the impact of COVID

ESMA urges companies to report

© Reuters
The German Stock Exchange. (Reuters)

The European Securities and Markets Authority (ESMA) has urged market participants to disseminate “without delay” any significant information about the impact of the coronavirus Covid-19 in your business, as indicated in a statement this Wednesday.

“Issuers of securities should promptly disseminate any material information about the impact of Covid-19 on its fundamental economic magnitudes, prospects or financial situation, taking into account the transparency obligations contained in the Market Abuse Regulation“the regulator has affirmed.

© Provided by El Confidencial

AgenciesThis has been done in response to different inquiries received in relation to the ordinary general shareholders’ meetings scheduled for the coming months.

Likewise, ESMA has indicated to companies that they must report “with transparency” about the current and potential impacts of the viral outbreak in its annual report for 2019, if it has not yet been formulated, or in its intermediate periodic information.

This information should be based “as far as possible” on an analysis “both qualitative and quantitative” of the activity of their businesses, financial situation and economic performance.

ESMA, in conjunction with the competent national authorities, recalled that all market participants, including infrastructure, “must be prepared to apply their contingency plans”, including the implementation of business continuity measures to guarantee the operational continuity.

With respect to investment funds, managers must continue to apply risk management requirements and “act accordingly.

ESMA has underlined that it continues to analyze the evolution of financial markets in the face of the expansion of the coronavirus and that “it is prepared to use its powers in a way that ensures the orderly operation of the markets, financial stability and the protection of investors.”


Please enter your comment!
Please enter your name here