Regulatory Alerts2024-07-18
Regulation to Amend the Securities Regulation
The Autorité des marchés financiers proposes amendments to the Securities Regulation to align fee collection with a newly implemented well-known seasoned issuer (WKSI) regime. The amendment shifts mandatory fee payments from the preliminary base shelf prospectus filing to the base shelf prospectus filing, establishing a prescribed minimum fee amount under section 267 without altering the total cost. Stakeholders may submit written comments by August 17, 2024, prior to the regulation’s submission to the Government for final approval.
Draft Regulation Securities Act (chapter V-1.1, s. 331, 1st par., subpar. (9)) Regulation to amend the Securities Regulation Notice is hereby given by the Autorité des marchés financiers (the "Authority") that, in accordance with section 331.2 of the Securities Act, chapter V-1.1, the following regulation, the text of which is published hereunder, may be made by the Authority and subsequently submitted to the Government for approval, with or without amendment, after 30 days have elapsed since its publication in the Bulletin of the Authority:
- Regulation to amend the Securities Regulation. Context The proposed Regulation to amend the Securities Regulation (the "proposed Regulation") is consequential to the implementation of a special regime for well-known seasoned issuers (“WKSI”) that will facilitate access to capital markets for WKSI issuers and reduce their regulatory burden without compromising investor protection. The proposed Regulation is necessary to ensure that the fees payable by an issuer using the WKSI regime are collected upon filing of the base shelf prospectus since, under the rules of the WKSI regime, the issuer is not required to file a preliminary base shelf prospectus. Currently, pursuant to subparagraph 2 of the first paragraph of section 267 of the Securities Regulation, CQLR, c. V-1.1, r. 50 (“SR”), fees are required when the preliminary shelf prospectus is filed, hence the need to prescribe the minimum amount applicable to the fees payable by WKSI issuers in subparagraph 3 of the first paragraph of section 267 of the SR. The amount of the required fees remains unchanged. Request for comment Comments regarding the above may be made in writing by August 17, 2024, to: Me Philippe Lebel Secrétaire et directeur général des affaires juridiques Autorité des marchés financiers Place de la Cité, tour Cominar 2640, boulevard Laurier, bureau 400 Québec (Québec) G1V 5C1 Fax : (514) 864-6381 E-mail : consultation-en-cours@lautorite.qc.ca Further information Further information is available from: Carolyne Lassonde Senior Policy Analyst Direction des opérations de financement Autorité des marchés financiers Tel: 514 395-0037, ext. 4373 Toll-free: 1 877 525-0337 Carolyne.Lassonde2@lautorite.qc.ca
Michel Bourque Interim Director, Regulatory Policy Direction de l'encadrement réglementaire Autorité des marchés financiers Tel: 514 395-0037, ext. 4466 Toll-free: 1 877 525-0337 Michel.Bourque@lautorite.qc.ca July 18, 2024