The Warsaw Stock Exchange has adopted the Code of Best Practice of NewConnect Listed Companies and Code of Best Practice of NewConnect Authorised Advisers.
The codes will enter into force as of 1 January 2009. At the early phase (by the end of 2009) they will operate as recommendations addressed to issuers and Authorised Advisers.
This solution will contribute to promoting the concept of Best Practice without imposing an additional burden, mainly with regard to disclosure of compliance.
In order to strengthen the standards applicable to market participants, we would like to introduce obligatory disclosure requirements for Best Practice compliance as of 2010. Consequently, NewConnect listed companies will be required to publish descriptive reports on corporate governance compliance together with annual reports. The scope of compliance reports will be defined by the WSE.
Authorises Advisers will be required to disclose information on compliance with Code of Best Practice of NewConnect Authorised Advisers in their annual reports.
The adoption of the codes of Best Practice both for NewConnect listed companies and Authorised Advisers followed broad market consultations by the WSE with the community of all NewConnect issuers and the most active Authorised Advisers.
Codes of Best Practice incorporate opinions of market participants expressed in the course of consultations, the WSE experience and the European trends of the main standards applicable to companies listed in alternative trading systems in Europe and advisers operating in these systems.
Raising the standards applicable to NewConnect listed companies and Authorised Advisers will facilitate the development of the market and serve as a tool of enhancing the effectiveness of the entire capital market, which will certainly contribute to growing the value of public companies and the quality of services offered by Authorised Advisers.
The Code of Best Practice of NewConnect Listed Companies and Code of Best Practice of NewConnect Authorised Advisers are available on the NewConnect website (www.newconnect.eu) under “Companies” tab.
