Public Bid of Securities

Securities that are not accepted for trading in the market of listed securities on the Stock Exchange shall be publicly offered only upon publication of a prospectus on securities (``prospectus'').

The Act defines the expression of public bid of securities and nominates the cases in which it is not necessary to realise the public bid of securities.

The public bid may be declared by publishing the prospectus which prerequisites are specified in accordance with EU legislation.

Any notice, advertisement, poster or other document containing the announcement of a public bid of securities and which is to be published, must be approved by the Office.

The Act further regulates the institute of public bid of property values, investment prospectus, the information duty of issuers of securities issued on the basis of the public bid.

The institute of public bid of property values is new and it regulates collection of financial funds from public by non-banking subjects and other than asset management companies for purposes of gainful activities. Property values may be publicly offered only after publishing an investment prospectus. The public bid of property values that for the investor represents an obvious or latent condition to acquire other investors may not be published in publishing media.

In addition to the above mentioned, the Act solves the prohibition of use of confidential information (so-called ``insider trading''), conflict of interests and confidentiality duty.