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BSE and CNVM agree on how to solve RASDAQ market unknown

BSE and CNVM agree on how to solve RASDAQ market unknown
11.08.2010, 23:51 5

After more than two years of talks and uncertainty, the capitalmarket arbiter (CNVM) and the Bucharest Stock Exchange (BSE) haveagreed RASDAQ market must be dissolved, with the most valuableissuers on this market set to be transferred to the BSE and therest to the alternative trading system.

According to BSE proposals on the CNVM table, RASDAQ issuerswith a market capitalisation of at least 1m euros will be selectedby the Bucharest Stock Exchange to be transferred to the BSEregulated market, while the rest of RASDAQ listed companies will goto its Alternative Trading System (ATS).
The BSE also proposed that the eligible issuers should getderogation from some criteria.
Of the over 1,400 companies listed on RASDAQ, around 400 qualifyfor transfer on the BSE, but the move will not be possible withoutthe agreement of their shareholders.
In six months after CNVM stipulation on RASDAQ market comes intoeffect, the selected issuers will convene the General Meeting ofshareholders to decide whether to enter the BSE or ATS. If theyagree, the companies have another six months to draw up theadmission to trading prospectus and submit it to the CNVM forapproval.