UK plans to ease capital raising rules in post-Brexit overhaul

(Bloomberg) –

The UK government is seeking to relax the rules for companies to raise funds as part of a sweeping restructuring aimed at strengthening London’s position as a global financial center after Brexit.

The review focuses on shortening timelines for long stock offerings such as rights issues, where companies first offer new shares to existing holders, according to a statement released Tuesday. Bloomberg News reported in March 2020 that UK regulators were in talks with advisers about potential changes to the rules for raising capital.

Other changes being considered include making it easier for retail investors to participate in fundraising, reviewing the use of new technologies and improving the efficiency of the capital raising process for London listed companies. .

Chancellor of the Exchequer Rishi Sunak on Tuesday appointed Mark Austin, a partner at law firm Freshfields Bruckhaus Deringer, as independent chair of the review.

© 2021 Bloomberg LP

Previous The capital market can help achieve the SDGs: experts
Next The government launches a review of the rules for raising capital as part of the overhaul of the stock markets