Source: https://www.government.is/Publications/Legislation/Lex/?newsid=cbc84fc6-126c-11e8-9428-005056bc530c
Timestamp: 2019-04-22 04:01:09+00:00

Document:
This Regulation shall apply to public offers of securities of a value between ISK 8.4 and 210 million, for which admission to trading on a regulated securities market is not requested.
The maximum and minimum amounts in the first paragraph refer to the total market value of the offer or of offers of securities of the same type during a 12-month period.
b. do not give a right to subscribe to or acquire other types of securities and are not linked to a derivative instrument.
d. are covered by Act No. 98/1999, on Deposit Guarantees and an Investor-Compensation Scheme.
An issuer or offerer covered by the provisions of Points 2, 4 or 7 of the third paragraph, may prepare a prospectus as provided for in this Chapter.
Amounts in this Chapter are linked to the EUR amounts based on the exchange rate on 4 January 2005 (ISK 83.54).
Definitions in the second paragraph of Art. 2 and Art. 21 of the Act on Securities Transactions, No. 33/2003, as subsequently amended, and in the Regulation on Public Offers of Securities of a Value of ISK 210 million or more and the Listing of Securities on a Regulated Securities Exchange, No. 242/2006, shall apply in this Regulation.
d. each unit of the securities issued has a nominal value of at least ISK 4.2 million.
If securities are marketed and/or sold through the intermediation of a financial undertaking and the exception provisions in subparagraphs a-e do not apply, a prospectus as provided for in this Regulation must be published.
e. securities offered, allotted or to be allotted to existing or former employees or Directors of companies by their employer or a company connected to this employer, provided that the above-mentioned securities are in the same class as securities already listed on the same regulated securities market. A document must be available containing information on the number and nature of the aforementioned securities and the reasons for and details of the offer.
A public offer of securities of a value between ISK 8.4 million and 210 million, for which admission to trading on a regulated securities market is not requested, is subject to the issuance of a prospectus in accordance with the provisions of this Regulation.
Responsibility for the information provided in the prospectus rests at least with the issuer or its directors, its executive or regulatory board, offerer or guarantor, as applicable.
The parties responsible shall be specified clearly in the prospectus by name and position or, in the case of a legal entity, by name and registered office. In addition, they must include a statement to the effect that according to their best knowledge the information in the prospectus accords with the facts and that no information has been omitted which could be of significance for the reliability of the prospectus.
The prospectus must include such information as is necessary, given the nature of the issuer and the securities, for investors to assess the assets and liabilities, financial situation, performance and future prospects of the issuer and guarantor, as appropriate, as well as the rights conveyed by the securities.
The prospectus must specify in a clear and comprehensible manner at least those aspects listed in the Annex to this Regulation, cf. however, Art. 6.
b. that it will be possible to revoke approval of a purchase of or subscription for securities for at least two working days after information on the final offer price and number of securities to be offered for sale in the public offer has been registered with the Financial Supervisory Authority.
Information on the final offer price and number of securities shall be registered with the Financial Supervisory Authority as soon as possible and, if possible, before the offer commences, and in addition published as provided for in Art. 10.
c. such information is of minor importance only for a specific offer and is not such as will influence the assessment of the financial position and prospects of the issuer, offerer or guarantor, if any.
If significant new information, material mistakes or inaccuracy relating to information in a prospectus, which could affect an assessment of the securities, comes to light between the time the prospectus was approved, cf. Art. 9, and until the offer concludes, a supplement to the prospectus shall be prepared accounting for the relevant aspects. The supplement must be approved within seven working days' time and published in the same manner as the original prospectus.
Investors who have already agreed to purchase or subscribe for the securities before the supplement is published shall have the right to cancel their prior agreement for at least two working days following the publication of the supplement.
A prospectus shall be valid for 12 months from its publication, cf. however, Art. 7.
A financial undertaking authorised to do so by its operating licence must co-ordinate a public offer of securities.
The Financial Supervisory Authority shall oversee approval of prospectuses. The Financial Supervisory Authority may reach an agreement with regulated securities markets to grant approval for prospectuses, cf. Art. 71 of the Act on Securities Transactions, No. 33/2003, as subsequently amended.
A prospectus may not be published until the Financial Supervisory Authority has approved it.
The Financial Supervisory Authority shall inform the issuer or offerer, as appropriate, of its decision concerning approval of the prospectus within ten working days from the time the prospectus is submitted. It shall not, however, be equivalent to approval should the Financial Supervisory Authority fail to announce its decision within the time limit laid down in this paragraph and the fifth paragraph.
The time limit specified in the fourth paragraph shall be extended to 20 working days if an issuer of securities offered for sale in a public offer has no securities listed on a regulated securities market and has not previously offered securities for sale in a public offer.
Should the Financial Supervisory Authority reach the conclusion that the documentation provided is unsatisfactory or that there is need for additional information, the time limits specified in the fourth and fifth paragraphs shall apply from the date the issuer or offerer provides such information.
In those instances referred to in the fourth paragraph, the Financial Supervisory Authority shall inform the issuer within 10 working days of the submission of an application if the documentation provided is unsatisfactory.
Once a prospectus has been approved it must be registered with the Financial Supervisory Authority and made available to the public by the issuer or offerer. This must be done as promptly as possible, in all cases well in advance of the commencement of the public offer and no later than upon the commencement of the public offer.
d. in electronic format on the website of the Financial Supervisory Authority.
Issuers who publish their prospectuses in accordance with subparagraph a or b shall also publish them in electronic format as provided for in subparagraph c.
The Financial Supervisory Authority shall publish on its website all approved prospectuses or a list of prospectuses which have been approved during the past 12 months, as provided for in Art. 9, including a hyperlink to the prospectus on the issuer's website as appropriate.
The text and format of the prospectus and/or supplement to it, which is published or made available to the public, must in all cases be identical to that of the original approved by the Financial Supervisory Authority.
If a prospectus is made available to the public in electronic format, the issuer, offerer or financial market intermediaries handling the marketing and/or sale of the securities must nonetheless provide an investor with the prospectus in printed format without charge if the investor so requests.
7. where the prospectus can be obtained.
Any type of advertisement concerning a public offer of securities must fulfil the conditions listed in the second to fifth paragraphs. The provisions of the second to fourth paragraphs, however, only apply to instances where an issuer or offerer is obliged to prepare a prospectus.
Advertisements shall state that a prospectus has been or will be published and where investors can or will be able to obtain the prospectus.
It must be clear that this is an advertisement. Information in the advertisement may be neither imprecise nor misleading. It must also accord with the information provided in the prospectus, if the prospectus has already been published, or the information which is to be included in the prospectus, if the prospectus is to be published later.
All information concerning a public offer of securities which is communicated orally or in writing, even if this is not done for advertising purposes, must without exception accord with the information provided in the prospectus.
If a prospectus does not need to be published, in accordance with the provisions of this Regulation or Chapter IV of the Act on Securities Transactions, No. 33/2003, as subsequently amended, important information which the issuer or offerer provides and is directed at professional clients or specific groups of investors, including information which is communicated in connection with meetings concerning offers of securities, must be communicated to all professional clients or specific groups of investors to whom the offer is directed exclusively. If a prospectus must be published, information communicated in the above manner must be in the prospectus or a supplement to it, in accordance with this Regulation.
The Financial Supervisory Authority shall ensure that advertisements in connection with public offers fulfil the requirements listed in the second to fifth paragraphs.
Prospectuses issued as provided for in this Regulation shall be in Icelandic.
The Financial Supervisory Authority may grant partial or full exemptions from the first paragraph.
This Regulation, which is set on the authority of the first paragraph of Art. 73 of the Act on Securities Transactions, No. 33/2003, as subsequently amended, shall enter into force immediately.
b. a statement to the effect that according to their best knowledge the information in the prospectus accords with the facts and that no information has been omitted which could be of significance for the reliability of the prospectus.
p. how and by what deadline delivery of the securities is to take place.
m. the amounts and terms of stock option agreements concluded.
e. legal actions or disputes which could have a significant impact on the issuer's financial position.
f. if an auditor has included reservations in its endorsement or refused to endorse the statements mention shall be made thereof and the reasons specified.
b. in the case of a public offering of shares in a company with limited liability, the salaries and remuneration to directors, managing directors and parties examining the issuer's accounts shall be stated, with a breakdown by group.
b. the issuer's operating outlook, at least for the current financial year.
When a public offer of bonds is guaranteed by one or more legal entities, the information prescribed in Points 3-7 of Art. 1 of this Annex must also be provided for these guarantors.
When a public offer is made of convertible or exchangeable bonds, bonds with warrants or the warrants themselves, information must also be provided on the nature of such shares or bonds which such rights concern and when and how conversion, exchange or subscription may take place. If the issuer of the shares or bonds is not the same as the issuer of the original bonds or the party granting the warrant, the information prescribed in Points 3-7 of Art. 1 of this Annex must also be provided for the latter party.
If the period since the issuer commenced its operations is shorter than that referred to in Art. 1 of this Annex, information need only be provided for the period since its operations began.
If certain information which is to be specified in a prospectus does not apply to the issuer's field of activity or legal form, or to the securities, the prospectus shall include information which is comparable to the information concerned. If no such comparable information exists, the said requirements concerning information disclosure shall not apply.

References: Art. 2
 Art. 21
 Art. 6
 Art. 10
 Art. 9
 Art. 7
 Art. 71
 Art. 9
 Art. 73
 Art. 1
 Art. 1
 Art. 1