The EU Listing Act legislative package has been adopted

The Listing Act package consists of:

• a regulation amending EU Regulation 2017/1129 (the Prospectus Regulation), EU Regulation 596/2014 (the Market Abuse Regulation) and EU Regulation 600/2014 (MiFIR),
• a directive amending EU Directive 2014/65 (MiFID II), and
• a new directive on multiple-voting shares. 

The new amendments imposed by the Listing Act seek to simplify the process for companies already listed or seeking admission to trading on a regulated market or an SME growth market, while maintaining transparency to enable investors to make informed decisions and ensuring market integrity.

Key reforms at a glance

• The Prospectus Regulation is amended to ease the listing process by reducing prospectus requirements, seeking to reduce costs and administrative burdens and to simplify and streamline prospectus format and content.
• The Market Abuse Regulation is amended to simplify disclosure rules for protracted processes where it will in many cases no longer be necessary to delay disclosure, ease conditions for delayed disclosures, and reduce reporting burdens for share buybacks and PDMR transactions.
• MiFID II is amended to improve the availability and quality of information regarding EU SMEs for investors, while also making the regime for admission to trading on EU trading venues more flexible.
• MiFIR is amended to include technical adjustments, aligning it with other developments in the Listing Act.
• A new directive on multiple-voting shares introduces a framework to facilitate the issuance and use of multiple-vote shares for companies seeking admission to a multilateral trading facility, allowing major shareholders to retain control after listing.

What is next?

With the Council's approval, the amendments in the Listing Act will enter into force 20 days after publication in the Official Journal of the European Union, with certain provisions related to the Prospectus Regulation and Market Abuse Regulation entering into force 15 or 18 months after publication. Member States will then have 18 months to implement amendments to the Markets in Financial Instruments Directive (MiFID II) and two years to adopt the new rules governing multiple-voting shares. As an example, the amendments to the rules regarding disclosure rules for protracted processes and delay of disclosure will in practice not enter into force until 18 months after publication, i.e., mid-2026. 

The Listing Package

Regulation of the European Parliament and of the Council amending Regulations (EU) 2017/1129, (EU) No 596/2014 and (EU) No 600/2014 to make public capital markets in the Union more attractive for companies and to facilitate access to capital for small and medium-sized enterprises

Directive of the European Parliament and of the Council amending Directive 2014/65/EU to make public capital markets in the Union more attractive for companies and to facilitate access to capital for small and medium-sized enterprises and repealing Directive 2001/34/EC