Stricter rules for reverse listings
Together with AFM, Euronext is introducing stricter rules for reverse listings. In a reverse listing, a company effectively goes public by acquiring an ‘empty’ listed company.
Due to the increasing popularity of reverse listings, Euronext Amsterdam introduces extra rules for this ‘shortcut’ to a public listing with a view to ensuring the provision of accurate information and protecting investors. Companies looking to go public by means of a reverse listing will now have to publish extensive information first, just as with ‘standard IPOs’, prove that they were founded at least 3 years ago, and pay a €40,000 entrance fee.